Kabbage Inc. said it raised $700 million in what it called the largest ever asset-backed securitization for an online lending platform for small business, in a company release.
The company has helped 170,000 small businesses borrow $6.5 billion in loans using an automated data engine that analyzes business transactions, rendering a decision in minutes.
"The new ABS and AA rating is a testament to Kabbage’s proven and real-time approach to responsibly apply credit access to small businesses," said Scott Rosenberg, CFO of Kabbage, in the announcement.
He said small businesses accessed more than $ 2 billion in 2018 and $600 million during the first quarter in 2019. Kabbage’s U.S.-based loans are issued by Celtic Bank, a Utah-chartered industrial bank.
The securitization brings the company’s current debt funding to $940 million, which includes other bilateral credit facilities.