- Largest fintech funding round in the eurozone in 2020, with Centerbridge as new investor
- Financing enables auxmoney to further expand its strong market position and build out its technology leadership
- auxmoney well positioned to drive the digitalization and consolidation of the lending sector
Düsseldorf, 2 September 2020 – With an equity raise of 150 million Euro, auxmoney, the largest credit marketplace in Continental Europe, is now in an ideal position to further strengthen its technological leadership and take advantage of market opportunities as they arise. The round is financed by investment firm Centerbridge, which also successfully backed other leading digital platforms such as the US insurtech GoHealth which recently completed its IPO on Nasdaq. In addition to investing primary capital into auxmoney, Centerbridge is acquiring further shares from certain existing investors to become a majority shareholder. Existing leading venture capital investors such as Foundation Capital, Index Ventures, and Union Square Ventures remain fully invested.
„Particularly in times of Covid-19, this funding round is a strong signal of confidence. 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“, says Raffael Johnen, auxmoney CEO and Co-Founder. He adds: „I am very proud of the dedication and passion of our amazing team. Together we have made this success possible.“
auxmoney has grown considerably in recent years: the loan volume funded on the platform has increased more than twenty-fold in the last five financial years. This success story is driven by technological innovation along the entire credit value chain as well as highly sophisticated digital methods in risk assessment.
„We are excited to join forces with auxmoney, the leading digital credit marketplace in Europe“, says Maximilian Rinke, Managing Director at Centerbridge. „We have closely monitored the players in this market in recent years and concluded that auxmoney sets itself apart through a unique technology. Raffael Johnen and his team have built an excellent company and delivered an impressive loan performance over many years. We look forward to partnering with this team. We are convinced that auxmoney has immense growth potential. The German loan market is still characterised by traditional scoring methods and manual processes. 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“, Rinke said.
„This model of digital lending has seen great successes and challenging cases. Based on our experience in the US and the attributes we see at auxmoney, we are convinced they will be a clear winner in this segment“, says Charles Moldow, General Partner at Foundation Capital, who participated in this funding round. “We’ve been working with Raffael and his amazing team for over six years and are proud to continue our support. What a journey it’s been and how exciting that the best is yet to come!”
auxmoney is ideally positioned to become one of Europe’s leading digital credit providers. „The Corona crisis has further accelerated the desire for digital lending. We will see consolidation in the market and opportunities for technology leaders. We are well prepared for this“, continues Raffael Johnen.
Centerbridge’s investment in auxmoney is subject to approval by antitrust authorities.
auxmoney is the largest credit marketplace in Continental Europe. On auxmoney, private and institutional investors invest in pre-approved borrowers and benefit from attractive risk-adjusted returns. Through unique risk models and digital processes, auxmoney expands credit access and offers its customers a superior and easy user experience.
Press contact auxmoney
Phone: +49 211 542 432 59
Centerbridge Partners, L.P. is a private investment management firm employing a flexible approach across investment disciplines-from private equity to credit and related strategies, and real estate-in an effort to find the most attractive opportunities for our investors and business partners. The Firm was founded in 2005 and as of June 30, 2020 has approximately $26 billion in capital under management with offices in New York and London. Centerbridge is dedicated to partnering with world-class management teams across targeted industry sectors and geographies to help companies achieve their operating and financial objectives. For more information, please visit www.centerbridge.com.
Press contact Centerbridge
Phone: +44 7776 162 997