North American credit provider CURO has raised $100m in senior secured revolving credit faculty from Atalaya Capital Management, a private credit and special opportunities alternative investment manager.
The facility’s borrowing capacity may be increased up to $200m over time. The money will help CURO navigate the challenges if the global pandemic. It will also leverage it to fund new US instalment and line-of-credit receivables, including those generated under its technology, marketing and servicing relationship with Stride Bank.
CURO, which went public in 2017, provides short-term credit to underbanked customers and has developed a fully integrated technology platform, omni-channel approach and advanced credit decisioning to provide an array of short-term credit products across all mediums.
CURO is a market leader in providing short-term credit to underbanked consumers in the United States and Canada. The company will use proceeds from the facility to finance new U.S. installment and line-of-credit receivables, including those generated under its technology, marketing and servicing relationship with Stride Bank.
“We are very pleased to complete our facility in what could certainly be described as a challenging environment,” said Don Gayhardt, president and CEO of CURO. “The Atalaya team was supportive and creative in navigating market changes to bolster CURO’s liquidity and provide funding capacity to support US growth in the future.”
Justin Burns, a managing director for Atalaya Capital Management, added, “We are glad to support the growth of CURO with this facility, which will better position them to execute their goal of providing financial support to the underbanked. Given recent events, there is likely to be an acute need for flexible credit across the consumer spectrum. We think that CURO is a best-in-class platform with a proven ability to step up in recessionary environments and support consumers when banks and other traditional sources of credit naturally retrench.”
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