• Updraft completes £250M forward flow arrangement with Jefferies Financial Group with Santander CIB providing Senior Financing.
• The UK Fintech also announces a further £22M Mezz and equity investment to complete the buildout of a £200m balance sheet facility and fuel growth in 2024 led by Quilam Capital, MoreThan Capital, LC Nueva AIF and Auluk Investments.

LONDON, UK – 19 December 2023 – Updraft, a UK-based consumer lending fintech has announced the closing of a £250M forward flow arrangement with Jefferies and Santander Corporate and Investment Banking, allowing the business to build on its mission to help UK households move away from expensive credit cards and overdrafts.

The closing of the arrangement allows Updraft to build on its momentum out of 2023 into 2024, helping customers on a path to debt zero with clear pay-off routes. Updraft’s growth plans will see more value added features to turn users from borrowers to savers, test new channels to reach new customer segments while staying on course to be the leader in financial support and guidance.

This latest fund-raising round concludes a strong year for Updraft, which uses best in class risk models that outperform traditional bureau-based credit risk models by combining bureau data, open banking data and behavioural data to better underwrite credit risk and lower the cost of credit. The business has now grown to 500,000 users and has successfully empowered individuals to take back control of their finances, by paying off more than £225m in credit cards and overdraft debt.

Updraft CEO, Aseem Munshi, reacted to the closing of the deal, saying:

“This agreement helps us serve even more customers to manage their finances. The size and term of the deal gives us a long window to focus on building our products, processes and strategy for future growth while we continue to manage risks and build a profitable business. This is another key milestone delivered by the amazing Team Updraft”

MD, Head of ABS Originations at Jefferies, Pradeep Krishnamurthy added:

“Our review of Updraft’s processes and underwriting gives us confidence in their ability to originate and manage a high performing loan book.”

Updraft was advised by Alantra on the design and execution of the forward flow arrangement. Co-CEO of FIG at Alantra, Andrew Jenke said:

“We are immensely pleased to have advised Updraft on the execution of this important transaction.”

Alongside the Jefferies and Santander Corporate and Investment Banking deal, Quilam Capital has further reiterated its confidence in Updraft’s ability to originate and manage their loan book leading the mezzanine capital increase to support the £200m on-balance sheet capacity. This was complemented with some additional equity capital round led by MoreThan Capital and LC Nueva AIF. The influx of this capital sees Updraft reach profitability in 2024 and invest in its platform business.

For more information about Updraft, go to https://www.updraft.com.

ENDS

About Updraft

Updraft is a financial technology company that provides loan refinancing solutions which enables its members to understand their financial profile, forge positive habits with their money, and make changes that pay off for the long term.

Combining smart algorithms, Open Banking and credit reference data, Updraft helps build a full picture of a user’s financial profile. It then serves bespoke recommendations to establish practical, beneficial habits and deliver routes to pay off borrowings in the most effective possible way. Updraft has built a supportive customer base of over 500,000 users and their people oriented approach has garnered a 4.7 Trustpilot score.

For more information visit: https://www.updraft.com/

About Jefferies:

Jefferies (NYSE: JEF) is one of the world’s leading full-service investment banking and capital markets firms providing a full range of investment banking, equities, fixed income, asset and wealth management products and services. With more than 40 offices around the world, we offer insights and expertise to investors, companies and governments. 

About Quilam Capital 

Quilam Capital provides flexible investment for alternative finance companies, fintechs and platforms. It combines targeted financial solutions with expert guidance and advice, working alongside clients, helping them overcome challenges and accelerate their business performance.

The core team has over 80 years’ combined sector experience with a leading track-record of investment across over 150 transactions, making Quilam the go-to speciality finance partner.

The wider management team also offers corporate finance, marketing, balance sheet optimisation and operational expertise to provide a full range of private equity services and executive support.

For more information visit: Website is www.quilamcapital.com