Auto Loan Company Lendbuzz Raises $150 Million in Debt Financing, Equity
Lendbuzz partners with car dealerships to offer loans to consumers with sparse U.S. credit history, such as international students and expats
Boston-based car financing company Lendbuzz Funding LLC has raised $150 million in debt financing and equity, the company announced Tuesday. The $20 million equity round was led by Israel-based venture capital firm 83 North, while the $130 million debt financing round was led by BHI, the U.S. division of Israel-based Bank Hapoalim, with participation by Viola credit, the growth and venture lending arm of Israel-based Viola Group, and Israel Discount Bank New York (IDB).
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Lendbuzz was founded in 2015 by two Israel-born entrepreneurs—CEO Amitay Kalmar and chief technology officer Dan Raviv. Lendbuzz partners with car dealerships to offer loans to consumers with sparse U.S. credit history, such as international students and expats. The company says it reviews loan requests within 24 hours and transfers money immediately upon approval.
“As of date, we have no activity in Israel, but in light of our in-depth acquaintance with the talent pool in Israel, we are examining the possibility of establishing a research and development center in the country," Kalmar said in an interview with Calcalist. The company currently employs a few dozen people.
Last May, the company announced it had secured $30 million in funding.