Progressa announced today it has successfully closed an $84 million equity and loan funding round. The equity financing was co-led by Canaccord Genuity and Gravitas Securities and included Eight Capital and Paradigm Capital as part of the syndicate.
The equity capital allows Progressa to unlock a new forward-flow whole loan purchasing program for up to $72 million, with Vancouver-based credit fund Cypress Hills Partners.
The equity financing was largely supported by the Canadian investment banks who see the potential for Progressa to complete an IPO before the end of 2019.
Ali Pourdad, Progressa’s co-founder and CEO, commented, “Progressa is proud to have developed first-to-market technology solutions for the Canadian non-prime credit consumer market. Today’s enterprise business partners are utilizing the Company’s Powered by Progressa solutions to improve their customer experience, while enhancing collections recoveries and mitigating significant risk, a true win for both enterprise and Canadian consumers. We are pleased with this broad level of support from Canadian investment banks who see that Progressa is making a positive difference in the lives of Canadians.”
This latest financing round is anticipated to be Progressa’s last private round, as it has now raised over $15 million of equity capital since inception and begins to prepare for an IPO.
Named by CB Insights in 2017 as one of 38 companies in the world helping the underbanked, Progressa is Canada’s fastest growing financial technology lender focused on changing the way pay cheque to pay cheque Canadians access and build credit.