UK lender Abound secures £500m in equity and debt financing
UK-based lender Abound has landed £500 million in fresh equity and debt financing as it aims to improve access to “accurate and affordable” consumer loans.
Abound lands £500m in debt and equity financing
The debt financing has been provided by Citi and clients of Waterfall Asset Management, while the equity investors include K3 Ventures, GSR Ventures and Hambro Perks.
Founded in 2020, Abound’s platform (previously known as Fintern) makes use of artificial intelligence (AI) and open banking to look at borrowers’ complete financial picture, allowing it to offer loans without needing to rely on just credit scores.
Abound says this enables it to lend to borrowers “ignored” by traditional banks while reducing the risk of lending. It currently claims to have served more than 150,000 customers, with 30% month-on-month growth to date.
With the new funding, Abound plans to grow its loan book, boost its staff headcount and continue to develop its B2B offering to allow banks and other lenders to leverage its technology.
Gerald Chappell, CEO and co-founder of Abound, says the investment reflects the demand for new lending products in the UK, especially in the current “challenging economic landscape”.
