The digital lender also extends its existing uncapped senior facility
New Zealand-owned digital lender Nectar has secured additional debt and equity funding as it aims to achieve $200 million in consumer lending over the next 24 months.
In its first foray into New Zealand, Vancouver-based Cypress Hills Partners (CHP), an alternative asset firm specialising in the origination of private debt, has provided Nectar with a new $10 million mezzanine facility.
Nectar has also inked a three-year extension to its existing uncapped senior facility with a Sydney-based specialist debt capital provider, Global Credit Investments.
In November, Nectar secured $1.2 million in the first round of its Series A equity capital raising towards a goal of $5 million. The raise was led by Icehouse Ventures, one of Nectar’s original equity investors.
“We have been impressed by Nectar’s diligent credit model and robust technology platform,” said Dean Linden, managing partner at CHP. “We are excited to accelerate the growth of Nectar as they continue to expand their presence in the New Zealand consumer lending landscape.”
“Support from specialist lenders CHP and GCI, together with new equity investment, shows confidence in our business model despite tight capital markets. This expansion capital enables Nectar to scale our technology and accelerate our mission to provide the simplest, fastest, and most transparent way for Kiwis to get a personal loan,” said Symon Nausbaum, founder and CEO of Nectar.
Since its launch, Nectar has originated loans worth over $100 million as it responds to consumer and broker demand for digital borrowing solutions. The fintech was the first digital lender in New Zealand to release an API to receive and process applications directly from brokers, putting its loans at the front of the queue for consideration. It offers personal loans of up to $37,500, with the average being $11,500.
Use the comment section below to tell us how you felt about this story.
