INSUBCONTINENT EXCLUSIVE:
Kabbage, the AI-based small business loans platform backed by SoftBank and others, is adding more firepower to its lending machine: the
Atlanta-based startup has secured an additional $200 million in the form of a revolving credit facility from an unnamed subsidiary of a
large life insurance company, managed and administered by 20 Gates Management, and Atalaya Capital Management.The money comes on the heels
$250,000 in a single deal to small and medium businesses, has built a platform that harnesses the long tail of big data from across the web
whether to provide the loans, and at what rates
Notably, the whole process takes mere minutes, making Kabbage disruptive to the traditional route of applying for loans from banks, which
can come at higher rates, often take longer to close and may never get approved.The company was last valued at $1.2 billion in its most
recent equity round from the Vision Fund in 2017, with about $500 million raised in equity to date from it and other investors, including
BlueRun Ventures and Mohr Davidow Ventures
185,000 businesses, and the company has seen an acceleration of business activity over the last two years
Nearly $700 million was loaned out in Q2 of this year, passing the record in Q1 of $600 million
Capital Markets, Deepesh Jain, in a statement
expanding by way of more third-party relationships
It has white-label partnerships with banks to power their own loan offerings for SMBs, and earlier this year it was also tapped by
e-commerce giant Alibaba to provide loans to its small business customers of up to $150,000 to help finance purchases, part of the latter
by way of its quiet acquisition of OpenSky.
