The Spanish alternative lending platform ID Finance has completed a $30 million capital raising round.
Source: Pixabay.com
This round was led by Kingsway Capital. The completed procedure provided for both an initial injection of capital and the purchase of shares from the first investors of the company. The capital injection is structured in the form of a convertible loan with a maximum value of 235 million euros.
ID Finance was founded in 2012 by former bankers Boris Batin and Alexander Dunaev. The company uses machine learning and innovative data processing methods to provide competitive financial services to low-income customers. The firm helps this category of consumers to improve their loan portfolio.
Since its foundation, the company has processed more than 10 million loan applications. The firm has recently expanded its product line by adding personal financial management tools.
The capital received by the company will be invested in organic business growth with a focus on the implementation of Plazo, the firm’s recently launched financial recovery application in Spain and Mexico.
Tamir Said, the managing Partner of Kingsway Capital, announced his intention to support ID Finance as part of efforts to provide access to financial services to those categories of consumers who are limited in the ability to receive funds on a credit basis. This situation is observed in both developed and emerging markets. He also noted that ID Finance has proven positive experience in using technology and data analysis to create innovative financial products.
Tamir Said believes that the Spanish platform has the potential to gain a significant share of the financial services market and expand access to them in Europe and Latin America.
ID Finance has become one of the fastest-growing financial companies in Spain by the end of 2022. Last year, the firm received a record revenue of 170 million euros, which is 20% higher than in 2021.
As we have reported earlier, Two Raises $19.4 Million for Global B2B Payments Solution.
