Home » CSS provider LendKey secures $1B in financing
CSS provider LendKey secures $1B in financing
April 14, 2015
NEW YORK (4/15/15)--LendKey, an online lending platform that connects borrowers with credit unions and banks, has secured up to $1 billion in financing from MidCap Financial, a specialty finance firm managed by a subsidiary of Apollo Global Management LLC.
LendKey is a CUNA Strategic Services strategic alliance provider.
MidCap will purchase student consolidation loans originated on the LendKey platform with potential further participation in the loans to be provided by investment funds managed by Apollo.
"This transaction is a transformational event for the online lending industry," said Vince Passione, LendKey CEO. "Apollo is one of the world's leading alternative investment managers, and MidCap, along with the investment funds Apollo manages, is an ideal finance provider for LendKey. This commitment serves as a testament to LendKey's success in building a valuable student loan portfolio for our current customers and a validation of the ability of online lending platforms to directly originate high quality loans."
LendKey's platform is used by more than 300 credit unions, community banks and other financial institutions. The financing commitment will help LendKey and its lender clients to expand student loan refinancing programs and give clients options for liquidity and capital management.