Lendo, Saudi Arabia’s top debt crowdfunding platform, has landed a USD 690 million (SAR 2.6 billion) warehouse under J.P. Morgan’s leadership. Fintech Saudi is supporting this milestone, which highlights the expansion of the fintech industry in Saudi Arabia and the enormous potential for SME financing in the country.
It is anticipated that the facility will help create more jobs in the Kingdom, proving Lendo’s dedication to employment and economic growth at home.
“This landmark facility represents a transformative moment for Lendo and the Saudi fintech ecosystem,” said Osama Alraee, CEO and co-founder of Lendo. “The strong backing from global financial institutions such as J.P. Morgan validates our innovative approach to SME financing and positions us to expand our impact in the Saudi market significantly. This facility will accelerate our mission of boosting SMEs growth while contributing to the Kingdom’s Vision 2030 goals.”
In order to boost Lendo’s lending capacity, launch more cutting-edge products, and broaden Lendo’s coverage of SMEs in the Kingdom, J.P. Morgan’s facility will be strategically placed. In line with Saudi Vision 2030, the development aims to raise SME lending from 4% in 2018 to 20% by 2030.
George Deves, Co-Head of Northern European ABS at J.P. Morgan, said, “We are pleased to collaborate with Lendo on this landmark transaction. A strong and fast-growing SME sector is vital for the local economy, and this financing will help support the strategic initiative to boost SME lending in Saudi Arabia.”
International investors’ increasing trust in Saudi Arabia’s fintech industry and regulatory environment is also indicated by the facility.
Two investment rounds have been successfully raised by Lendo thus far. A fully owned subsidiary of Saudi Arabia’s Public Investment Fund (PIF), Sanabil Investments led the company’s most recent USD 28 million Series B investment round.
