Online lender EZBob bags £20m to increase lending and develop tech
3 min read
11 March 2016
An equity investment deal worth £20m has been made by Leumi Partners and funds managed by Oaktree Capital Management into business elending platform EZBob.
The development comes nearly a year after Ezbob, which also trades under the name Everline, closed a £30m convertible debt deal with Oaktree Capital Management. Around that time, it also signed a partnership with Chinese ecommerce platform Alibaba and became the UK recipient of a loan guarantee agreement with the European Investment Fund (EFI).
In banking the capital, EZBob will now be able to increase its lending capacity and further develop the technology that powers its lending decisions.
Tomer Guriel, CEO and co-founder of EZBob, said: “Raising investment from a leading global bank in digitalisation and an active investor within tech is proof of our game-changing technology and unique approach to business lending. This latest investment will further accelerate our growth plans and enable us to continue to develop our proprietary business lending platform to address more of the UK’s business lending needs.
“Oaktree’s additional investment is an endorsement of the management team, the business’ scalability and the appetite for a fresh approach to business finance in the UK. We’ve already experienced significant growth in the last 12 months and the market opportunity remains huge.”
EZBob has now provided in excess of £100m funding in the form of 8,500 loans to small and medium-sized businesses (SMEs) in the UK through trading brands Everline and EZBob. Its technology makes an online assessment of a company’s validity for a loan of up to £120,000, and is linked to a firm’s data sources such as cloud-based accounting services, tax reports and bank statements.
Read more about the digital lender:
- EZBob and Everline join forces to create “perfect marriage” of finance providers
- Everline and EZBob charged with additional £30m to help with SME lending
- Chinese retail giant Alibaba signs deal with UK e-lenders to provide trade finance
New investor Leumi Partners is the investment banking arm of Israel-based Bank Leumi, a bank which recently expanded upon its technology offering by opening LeumiTech in London.
Danny Tsiddon, chairman of Leumi Partners and Leumi Group deputy CEO, commented: “This is Leumi’s first major investment in fintech outside of Israel. Business elending is rapidly growing around the world and is attracting global banks, who see its potential and allocate more and more resources towards it. It is only natural that a bank which specialises in Israeli high-tech and spearheads innovation has chosen to invest in this leading fintech startup.”
Everline and EZBob came together in February 2015 through a merger deal, with figures at the time showing that the two companies had collectively lent in excess of £54m through 5,000 business loans since inception in 2012.
Finance isn’t the only sector currently being disrupted, as we found out in our special on the property space – when Zoopla founder Alex Chesterman revealed all.