Menorah Mivtachim teams with P2P loans co Blender

Menorah Mivtachim  PR
Menorah Mivtachim PR

A NIS 90 million credit line from Menorah Mivtachim will enable businesses to arrange point of sale loans through Blender.

P2P lending platform Blender has signed an agreement with Menorah Mivtachim Holdings Ltd. (TASE: MORA) under which insurance and investment company Menorah Mivtachim will make a NIS 90 million credit line available to Blender for consumer loans to the Israeli public. Menorah Mivtachim will make the loans through a special purpose vehicle, which will also receive a subordinated loan of NIS 10 million.

This is the first time that use has been made of this structure in Israel, of making available a future line of credit, rather than purchasing an existing portfolio. The deal was initiated by Active Underwriting Ltd., headed by Omri Levy.

Blender reports that in the past year it passed the 350,000 registered customers threshold, and that it has about 35,000 paying customers. Blender has lent more than NIS 500 million, and makes some 1,000 loans monthly.

The credit line from Menorah Mivtachim will allow businesses to enable their customers to pay for goods and services through Blender. The businesses will receive the entire purchase price from Blender on the day a deal is signed. The purchaser receives a loan repayable in monthly installments over a period of up to three years. In some cases, the business subsidizes the loan. Loans at points of sale are common practice in the US and the UK, and Blender is now introducing them to Israel.

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

© Copyright of Globes Publisher Itonut (1983) Ltd.

Menorah Mivtachim  PR
Menorah Mivtachim PR
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