American-Israeli startup car finance Lendbuzz announced On Wednesday, it raised a $ 360 million investment round that includes $ 60 million in Series C and $ 300 million in debt financing led by Goldman Sachs Bank USA.
Wellington Management spearheaded the equity financing round, joined by Goldman Sachs & Co and MUFG Innovation Partners, as well as existing investors including 83North, Eyal Ofer’s OG Tech, Arkin Communications, Mivtach Shamir and Highsage Ventures. Goldman Sachs Bank USA led debt financing, which was joined by Viola Credit.
The capital injection will support the company’s rapid expansion and enable Lendbuzz to fulfill its mission of helping people currently underserved by the traditional credit system, Lendbuzz says.
The company that partners with car dealerships offers a car loan platform for people who have no credit history. Lendbuzz is modernizing the aging car loan industry by focusing on serving consumers with little or no credit in the United States. The company has doubled the number of employees to over 100 over the past year.
“Lendbuzz was founded to expand access to credit for the millions of consumers currently underserved by the traditional credit system,” said Amitai Kalmar, co-founder and CEO of Lendbuzz. “This additional funding allows us to further accelerate our growth and continue to improve the quality of car purchases for our customers.”
Lendbuzz is based on machine learning and proprietary algorithms to better assess the risks of creditworthy consumers underserved by traditional banks. The company analyzes thousands of data points to better and more accurately evaluate applications. This allows car dealerships to close business deals that might otherwise be lost and ensures a smooth and paperless customer experience.