AI fintech co Pagaya issues $115m asset backed security

Pagaya founders Photo: Inbal Marmari
Pagaya founders Photo: Inbal Marmari

This latest transaction is the Israeli company's largest to-date and the third in just six months, bringing Pagaya’s total assets under management to over $750 million.

Israeli artificial intelligence financial technology company Pagaya today announced the closing of a $115 million consumer credit asset-backed security (ABS). Led by structuring agent Cantor Fitzgerald, the ABS will be actively managed by Pagaya’s AI.

This latest transaction is the company's largest to-date and the third in just six months, bringing Pagaya’s total assets under management to over $750 million. Pagaya continues to evaluate and expand the number of platforms that can access the firm’s PAID shelf, partnering with Prosper Marketplace for this transaction. Pagaya has been working closely with Prosper to develop innovative financing solutions for consumers, which will be featured in this securitization.

“As a long-term partner of Pagaya, we appreciate their ability to bring more investors into the consumer credit space,” said John Goldston, Vice President of Capital Markets at Prosper Marketplace. “We are excited to continue working alongside Pagaya to unlock new opportunities to connect people who want to borrow money with institutions that want to invest in consumer credit.”

The pace of Pagaya’s ABS transactions demonstrates a growing market demand for the unique structure and active management Pagaya can offer, made possible by its AI. Pagaya’s AI analyzes millions of data points to select and purchase individual loans instead of securitizing a pool of previously assembled assets. This data-driven, in-depth analysis unlocks more low-risk opportunities for institutional investors.

Published by Globes, Israel business news - en.globes.co.il - on August 22, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2019

Pagaya founders Photo: Inbal Marmari
Pagaya founders Photo: Inbal Marmari
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