LoanDepot Announces Closing of $150M Crowdlending Fund to Further Fuel Its Record-breaking Performance with Investments in Technology and Product Development Projects

24 Aug

As a national marketplace lender, the loanDepot platform is disrupting finance by dissolving the lines between mortgage and non-mortgage credit

By Robert Hoskins

Irvine, California LoanDepot announced the closing of $150 million in term debt financing and intends to use the proceeds to further fuel its record-breaking performance with continued investments in technology and product development, and to leverage its balance sheet to hold certain loan assets.

loanDepot, America's lender, matches borrowers through technology and high-touch customer care with the credit they need to fuel their lives

loanDepot matches borrowers through technology and high-touch customer care with the credit they need to fuel their lives

“Capital investment in consumer lending and in the mortgage industry is very tight and highly selective,” says Anthony Hsieh, chairman and chief executive officer at loanDepot. “Investors are interested in category leaders with scale who succeed in all credit cycles. This deal confirms the strength of our business model and the positive momentum of our brand. It also signals the competitive advantage loanDepot has in accessing capital in today’s market as we pursue our long-term growth strategy.”

As the nation’s second-largest nonbank consumer lender, loanDepot heads into the second half of 2016 with second-quarter fundings reaching nearly $10 billion in home, personal and home equity loans. Total fundings for the first half of 2016 are up 16 percent compared to the same time last year. The number of loans funded by loanDepot in the first six months of 2016 increased by 33 percent compared to the same period last year, further demonstrating the value of the company’s personal loan platform and cross-selling opportunities between loan products.

“Working capital and liquidity are essential for today’s nonbank lender, and only available if you have scale, a solid track record and a great reputation,” says Hsieh. “loanDepot is a strong and stable company responsible to our customers, employees and shareholders. We’ll continue reinvesting back into our platform in a variety of ways, including technology, the customer experience and product development. We believe this approach strengthens our position as the leading modern lender as the industry heads into the next generation of lending.”

In November 2015, the company postponed its initial public offering. This capital debt financing is the continuation of its capital strategy and commitment to pursue long- term growth plans.

Launched in 2010, loanDepot has achieved 80 percent year-over-year average annual growth from 2010 to 2015. The company continues to make significant reinvestments into its proprietary technology and marketing platform, credit and risk models, and product delivery systems.  The company operates from eight business centers and 150+ loan stores across the nation. loanDepot was the first nonbank consumer lender to offer home, personal and home equity loan products nationwide.

loanDepot matches borrowers through technology and high-touch customer care with the credit they need to fuel their lives. As a fast-growing national marketplace lender, the loanDepot platform is disrupting finance by dissolving the lines between mortgage and non-mortgage credit.

The company has funded over $70 billion in loans since inception. loanDepot is passionate about emerging financial technology and dynamic product delivery supported by excellent customer service to empower consumers.

# # #

Advertisements

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: