Kabbage Closes $135M in Financing with ING and Santander Acquiring Stakes
- Marketplace lender, Kabbage, adds three European banks to its list of shareholders as the firm closes $135 million in new financing.
Dutch financial firm, ING, has disclosed that they have acquired an equity stake in marketplace lending company, Kabbage. The stake is part of a $135 million financing round that Kabbage has raised. Led by Reverence Capital Partners, the round also includes participation from Santander and Scotiabank.
An online marketplace lender, Kabbage has been aggressively expanding the width of their operations over the past year. Initially focused on providing capital to small and medium enterprises (SME), Kabbage has added personal loans with the launch of the Karrot brand. In addition, the firm has launched third party initiatives, providing their technology as a licensed solution to enable other firms to offer their SME customers with lending.
With their growth, Kabbage has recently announced that they expect 2015’s loan originations to be triple the level of 2014. In addition, they stated that their daily funding has reached above $5 million. This milestone follows their achievement of the $3 million benchmark six months ago.
According to Dow Jones that quotes sources familiar with the deal, the $135 million in funding was based on a billion dollar valuation. If true, it would mark Kabbage as the latest Fintech Fintech Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Read this Term startup Unicorn Unicorn Unicorns represent privately held startup companies whose value exceeds $1 billion. The term itself was coined by venture capitalist Aileen Lee back in 2013, with Unicorns since assuming the gold standard of companies.At the time of writing, approximately 465 unicorns exist, with standouts becoming ubiquitous in everyday life. This includes Ant Financial, DiDi, Airbnb, Stripe, Lyft, and Palantir Technologies, among many others.While all wildly successful, many unicorns are themselves the product Unicorns represent privately held startup companies whose value exceeds $1 billion. The term itself was coined by venture capitalist Aileen Lee back in 2013, with Unicorns since assuming the gold standard of companies.At the time of writing, approximately 465 unicorns exist, with standouts becoming ubiquitous in everyday life. This includes Ant Financial, DiDi, Airbnb, Stripe, Lyft, and Palantir Technologies, among many others.While all wildly successful, many unicorns are themselves the product Read this Term, joining SoFi, OnDeck, Avant and Lending Club within the marketplace lending space.
The addition of three European based banks as Kabbage shareholders could signal that the firm has specific plans to target Europe within its expansion goals.
Dutch financial firm, ING, has disclosed that they have acquired an equity stake in marketplace lending company, Kabbage. The stake is part of a $135 million financing round that Kabbage has raised. Led by Reverence Capital Partners, the round also includes participation from Santander and Scotiabank.
An online marketplace lender, Kabbage has been aggressively expanding the width of their operations over the past year. Initially focused on providing capital to small and medium enterprises (SME), Kabbage has added personal loans with the launch of the Karrot brand. In addition, the firm has launched third party initiatives, providing their technology as a licensed solution to enable other firms to offer their SME customers with lending.
With their growth, Kabbage has recently announced that they expect 2015’s loan originations to be triple the level of 2014. In addition, they stated that their daily funding has reached above $5 million. This milestone follows their achievement of the $3 million benchmark six months ago.
According to Dow Jones that quotes sources familiar with the deal, the $135 million in funding was based on a billion dollar valuation. If true, it would mark Kabbage as the latest Fintech Fintech Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Read this Term startup Unicorn Unicorn Unicorns represent privately held startup companies whose value exceeds $1 billion. The term itself was coined by venture capitalist Aileen Lee back in 2013, with Unicorns since assuming the gold standard of companies.At the time of writing, approximately 465 unicorns exist, with standouts becoming ubiquitous in everyday life. This includes Ant Financial, DiDi, Airbnb, Stripe, Lyft, and Palantir Technologies, among many others.While all wildly successful, many unicorns are themselves the product Unicorns represent privately held startup companies whose value exceeds $1 billion. The term itself was coined by venture capitalist Aileen Lee back in 2013, with Unicorns since assuming the gold standard of companies.At the time of writing, approximately 465 unicorns exist, with standouts becoming ubiquitous in everyday life. This includes Ant Financial, DiDi, Airbnb, Stripe, Lyft, and Palantir Technologies, among many others.While all wildly successful, many unicorns are themselves the product Read this Term, joining SoFi, OnDeck, Avant and Lending Club within the marketplace lending space.
The addition of three European based banks as Kabbage shareholders could signal that the firm has specific plans to target Europe within its expansion goals.