Former AmEx CEO Leads $14 Million Round for Loan Assessment Startup Pagaya
Pagaya’s technology uses a machine learning algorithm to automatically detect and assess potential loan offerings on different consumer credit platforms in the U.S.
New York and Tel Aviv-based fintech startup Pagaya Investment Israel Ltd. has raised $14 million in a Series B funding round led by former American Express CEO Harvey Golub and Greenwich, Connecticut-based venture capital firm Oak HC/FT Partners LLC, Pagaya announced Thursday. The investment brings Pagaya’s total funding raised to $19.2 million.
The company intends to use the capital to hire additional engineers, artificial intelligence developers, and salespeople. The company currently employs 20 people.
Pagaya founders Gal Krubiner (left), Avital Pardo and Yahav Yulzari. Photo: Inbal Marmari
Other investors in the round include Israeli insurance company Clal Insurance Enterprises Holdings Ltd., Thailand’s Siam Commercial Bank, and existing investor Viola Ventures.
Founded in 2016, Pagaya manages credit risks and the undersigning of consumer and online loans. Pagaya’s technology uses a machine learning algorithm to automatically detect and assess potential loan offerings on different consumer credit platforms in the U.S.
In February, Pagaya raised $75 million in debt financing from Citigroup for its online loan service Pagaya Opportunities. Pagaya manages $250 million in capital, according to company statements.