Auxmoney secures €150m equity investment
German peer-to-peer lender Auxmoney has a new majority shareholder, after completing a €150m (£133m) equity fundraising round.
Investment management firm Centrebridge Partners led the funding round for the consumer lender and is acquiring shares from other investors to become the majority shareholder, subject to approval from anti-trust authorities.
Existing venture capital backers including Foundation Capital, Index Ventures and Union Square Ventures, remain fully invested.
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“Particularly in times of Covid-19, this funding round is a strong signal of confidence,” Raffael Johnen, chief executive of Auxmoney, said.
“The capital will allow us to further expand our leading market position and capture opportunities that arise in this environment.
“By providing German consumers and self-employed with critically needed access to capital, we are making an important contribution to the recovery of the German economy.
“Centerbridge’s deep expertise in credit markets will help us broaden our reach to institutional platform investors who are funding loans via our marketplace.
Together we are pursuing the goal to make Auxmoney a leading digital loan provider in Europe.”
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Maximilian Rinke, managing director at Centerbridge said Auxmoney has “immense growth potential.”
“The German loan market is still characterised by traditional scoring methods and manual processes,” Rinke said.
“Through automation, Auxmoney is providing more and more people easier access to the credit they deserve.
“In doing so, Auxmoney sets new standards for its customers and cooperation partners.”
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