Israeli fintech co Pagaya set for $9b SPAC deal - report

Pagaya founders Photo: Roy Perry
Pagaya founders Photo: Roy Perry

Pagaya, which has developed an AI platform for analyzing credit applications, is to merge with EJF Acquisition, "The Wall Street Journal" reports.

Israeli fintech company Pagaya is close to signing a merger agreement with special purpose acquisition company (SPAC) EJF Acquisition Corp. (Nasdaq: EJFA), "The Wall Street Journal" reports, according to people familiar with the matter. The deal would see Pagaya list on Nasdaq at a $9 billion valuation.

Pagaya has developed a platform that allows lenders to analyze credit applications using artificial intelligence and machine learning technologies. The P2P platform makes financial transactions more efficient, allowing lenders to extend more credit and enabling more people to borrow more money.

The company was founded in 2016 by CEO Gal Krubiner, Yahav Yulzari (the former Bnei Yehuda goalkeeper), and Avital Pardo. Pagaya has raised $146 million to date including $102 million in a Series D financing round last year led by the Singapore Sovereign Wealth Fund (GIC). The company reportedly manages over $2 billion in various debt options.

With offices in New York and Tel Aviv, Pagaya focuses on the US debt market and has 350 employees. Customers include banks, credit card companies, and auto finance companies and the "Wall Street Journal" reports that Pagaya plans expanding into mortgages.

Published by Globes, Israel business news - en.globes.co.il - on September 15, 2021

Copyright of Globes Publisher Itonut (1983) Ltd. 2021

Pagaya founders Photo: Roy Perry
Pagaya founders Photo: Roy Perry
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