Auxmoney raises €250m to fund consumer loans

Its peer-to-peer lending platform provides automated processes for onboarding, risk assessment and investor reporting, and draws on advances in machine learning to match borrowers and lenders

Auxmoney, a digital lending platform provider for consumer credit, has received €250 million in investment from Citigroup and Chenavari Investment Managers

The investment, along with its own funds, will support loans on its own marketplace. Germany-headquartered auxmoney enables consumers to secure finance from private individuals.

Its peer-to-peer lending platform provides automated processes for onboarding, risk assessment and investor reporting, and draws on advances in machine learning to match borrowers and lenders.

Raffael Johnen, chief executive officer of auxmoney, says: “Our investment platform enables us to start new partnerships in a scalable manner and thus continuously expand our investor base. We are pleased to bring more strong partners to the auxmoney platform today. With this trend-setting investment, even more people benefit from the advantages of digital loans through auxmoney.”

Daniel Drummer, chief financial officer at auxmoney, adds: “This financing commitment from a leading global debt investor underlines once again the attractiveness of digital loans as an asset class. The investment strengthens auxmoney’s position as a leading provider of digital access to credit in Europe. We see enormous momentum for technology-based loan offers in the market. Further new partnerships are already in preparation.”

Sebastian Walf, managing director at Citigroup, comments: “We finance fintechs across Europe. The credit performance of auxmoney’s marketplace loans continues to be remarkably stable even in the corona pandemic. We are pleased to enter into this partnership with one of the leading European fintechs.”

Image: auxmoney

Mark Dugdale