Lendable's Impactful Fundraising Journey
- On track for $500 million raise and rare investment-grade rating -
Lendable, a prominent provider of asset-backed credit to rapidly growing companies worldwide, recently announced significant progress in its fundraising efforts through its two new funds: Lendable MSME Fintech Credit Fund 2 (LMFCF2) and Lendable Transportation and Energy Fund (LTEF). These funds have already raised over US$300 million, with expectations to reach a final close exceeding US$500 million.
LMFCF2's senior tranche has successfully received an investment-grade rating, showcasing Lendable's strong performance history and prudent credit strategies.
Strategic Partnerships and Investment Commitments
Among the key investors in these initiatives is the International Finance Corporation (IFC) from the World Bank Group, which has pledged US$86 million across both funds. Additionally, other financial institutions, including a notable US-based public institution and various international development finance institutions, have joined the effort to boost capital.
These funds align with Lendable's mission to support impactful, technology-driven enterprises that are contributing to inclusive growth in both developed and emerging economies. LMFCF2 aims to provide asset-backed financing to next-gen financial service providers that leverage data and technology to increase financial accessibility to underserved communities. LTEF focuses on supporting small and medium-sized enterprises (SMEs) and mid-market companies that are facilitating sustainable technology adoption across diverse sectors.
Empowering Global Growth with Sustainable Solutions
As emerging markets are projected to be responsible for approximately two-thirds of global economic growth by 2035, Lendable is dedicated to unleashing this potential by backing businesses that have the power to become foundational to financial services, energy, and transportation sectors. Utilizing a customized technology and data platform, Lendable enables these global aspiring companies to grow more swiftly while ensuring borrower discipline and the quality of collateral through innovative risk management techniques.
CEO Chris Wehbe emphasized the significance of these funds, stating, "These funds mark a significant achievement in our industry, demonstrating that it is possible to harmonize impact scaling with commercial rigor. It reinforces our belief that proprietary data and high-standard systems can yield consistent returns and positive impacts. We appreciate the trust placed in us by leading global agencies and are eager to deploy this capital to enterprises that promise both financial performance and substantial societal benefits."
Unlocking Billions for Impact Investments
Co-Founder and Executive Chairman, Daniel Goldfarb, shared, "Our objective is to mobilize billions into high-impact asset categories without compromising returns. These funds are a step toward achieving this goal, enabling us to support companies that enhance access to finance, energy, and vital services for millions globally."
Collaborations for Sustainable Development
IFC's Mohamed Gouled, Vice President of Industries, remarked, "We are pleased to back Lendable’s focus on finance accessibility and sustainability through our investments in these two new funds. This partnership symbolizes our mutual dedication to empowering the next generation of technology-focused businesses that merge profitability with sustainability, positively influencing employment and growth in developing markets."
Lendable acknowledges the support of both new and returning development finance institution (DFI) partners in its new funds. In LMFCF2, partners include British International Investment (BII), the Belgian Investment Company for Developing Countries (BIO), and others. For LTEF, contributors include the Netherlands Development Finance Company (FMO) and the Swiss Investment Fund for Emerging Markets (SIFEM).
About Lendable
Lendable stands as a tech-oriented impact fund advisor dedicated to providing asset-backed lending to rapidly expanding companies across emerging markets globally. By employing a data-centric approach to underwriting and risk management, Lendable adeptly navigates market dynamics while collaborating with borrowers to foster meaningful social and environmental effects.
Active in various sectors such as consumer credit, productive asset finance, and green energy, Lendable has demonstrated strong fund performance nearing USD1 billion in assets. With headquarters in London and additional hubs located in Nairobi, Johannesburg, and Singapore, Lendable extols its mission of fostering sustainable industries across several regions.
Frequently Asked Questions
What are the new funds launched by Lendable?
Lendable has launched two new funds: the MSME Fintech Credit Fund 2 (LMFCF2) and the Transportation and Energy Fund (LTEF).
How much capital has Lendable raised through its new funds?
As of now, Lendable has raised over US$300 million and is on track to exceed US$500 million.
What is the focus of the funds?
The funds target high-impact, technology-driven businesses that promote sustainable and inclusive growth.
Who are some of the investors in Lendable's new funds?
Key investors include the International Finance Corporation (IFC) and various development finance institutions.
What is Lendable's mission?
Lendable's mission is to support impactful companies in emerging markets by providing asset-backed financial solutions and fostering economic growth.