emerging market fintech financiers lendable The firm aims to raise a $100 million fund to invest in African and Asian fintech companies, the firm said in an emailed statement today..
In March, the firm said it planned to raise between $120 million and $180 million in new lending to fintechs so they could Then provide credit, asset finance, payments and remittances to individual clients and businesses in emerging markets.
It is not clear whether the fund announced today continues that discussion as there is no context in this recent statement. But what is clear is that Lendable says this is its fourth fund.
Dubbed the MSME Fintech Credit Fund, Lendable says it will provide credit to African and Asian fintech companies so that they can provide credit facilities and financial services for more than 150,000 small businesses..
So far, the fintech lender has closed $49 million from impact investors such as DFC, EMIIF (DFAT), Calvert Impact Capital, Cenearth, BIO, FMO and FSD Africa. It expects to close another $20 million this fourth quarter before a final difficult closing in 2022.
Takes the first close of Lendable complete committed capital for more than $200 million, although it has Managed more than $400 million of pipeline since its launch in 2016, according to the firm’s statement. The lender also made distributions of $180 million over that time period..
established by Daniel Goldfarb And Dylan Fried, Lendable has provided over 1.4 million consumer and small business loans, more than 80,000 productive asset loans and more than 105,000 solar home systems.. with thisLendable says it has given a net return of 14.32 per cent annually to its investors.
“We have received an amazing response to this fund and have brought on board an impressive slate of key impact investors and DeFis that support our vision,” Goldfarb said in a statement.. “Through our fintech investments, we are providing essential working capital for MSMEs that enables off-grid customers to purchase energy products and opens the door to innovative digital banking services for consumers.“
Lendable has provided debt financing to a number of fintechs from nine emerging markets. Some include Tugende, Karbonn, Uploan, KoinWorks, Planet42, FairMoney, Trella, Payjoy, Solar Panda and MFS Africa. The fintech financier said its loan facilities range between $2 million and $15 million, with a payback period of between three and four years. So far, Lendable has a default rate of around 0.01%, a company spokesperson said in an interview with Nerdshala this year.