Austin-based consumer financing solution CreditShop has received an undisclosed investment from Värde Partners.
It is unclear what vehicle the firm used to finance the transaction, but it held a $1.74bn final close on Fund XII earlier this year.
CreditShop is a finance company that uses data analytics and technology to offer credit products to its customers. The business operates in all 50 states and boasts an asset base which includes up to $1.6bn of MasterCard credit cards.
Users have access of a personal loan of between $1,000 to $3,000, and the credit has an annual percentage rate of anywhere from 19.9 per cent to 36 per cent.
Värde’s investment will allow the business to grow and launch its own card products next year.
The firm’s North America head of specialty finance Aneek Mamik said, “Värde’s acquisition of CreditShop provides an attractive entry point into the $500 billion consumer credit card industry and is an extension of our strategy of growing specialty finance platforms globally.”
This investment round follows its $35m venture round it raised in 2015 from Renren, among other investors.
Last year the marketplace lending sector in the US saw the biggest chunk of funding for the FinTech sector, representing over a quarter of the total investments in the country. The sector received $3.8bn in equity, compared to payments, the second highest funded space, which only received $1.7bn.
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