Fintech Updraft closes a £272 million debt and equity round
Summary
Today Updraft, a UK-based consumer lending fintech company, has announced the closing of a \xa3272 million debt and equity round.Updraft provides loan refinancing solutions, enabling its members to understand their financial profile, forge positive habits with their money, and make changes that pay off in the long term.Combining smart algorithms, Open Banking and credit reference data, Updraft helps build a full picture of a users financial profile. It then serves bespoke recommendations to establish practical, beneficial habits and deliver routes to pay off borrowings in the most effective possible way.Updraft has built a customer base of over 500,000 users and has successfully empowered individuals to take back control of their finances, by paying off more than \xa3225 million in credit cards and overdraft debt.The forward flow arrangement with Jefferies and Santander Corporate and Investment Banking, allowing the business to build on its mission to help UK households move away from expensive credit cards and overdrafts.Updraft also announced a further \xa322M million Mezz and equity investment. This will complete the buildout of a \xa3200 million balance sheet facility and fuel growth in 2024 led by Quilam Capital, MoreThan Capital, LC Nueva AIF and Auluk Investments.Updrafts growth plans will see more value-added features to turn users from borrowers to savers, and test new channels to reach new customer segments while staying on course to be the leader in financial support and guidance.Updraft CEO, Aseem Munshi, reacted to the closing of the deal, saying:"This agreement helps us serve even more customers to manage their finances. The size and term of the deal gives us a long window to focus on building our products, processes and strategy for future growth while we continue to manage risks and build a profitable business. "Updraft was advised by Alantra on the design and execution of the forward flow arrangement.