US-based online credit marketplace Prosper Marketplace raised $165m yesterday in a series D round backed by BBVA Ventures, the strategic investment arm of financial services provider BBVA.
Credit Suisse Next Investors, part of financial services group Credit Suisse’s Asset Management division, led the round, which included J.P. Morgan Asset Management, SunTrust Banks, a subsidiary of financial services firm USAA, Neuberger Berman Private Equity Funds, Passport Capital and Breyer Capital.
Founded in 2005, Prosper operates a consumer credit marketplace enabling users to borrow or lend money to each other. In the first quarter of 2015 it facilitated close to $600m in loans, a 200% year-on-year increase.
Prosper will invest the funding in continued expansion as it seeks to create a national brand, and it also plans to introduce new products and services for its platform.
The company has now raised a total of approximately $355m, according to press reports.
Past investors in the company include Francisco Partners, Institutional Venture Partners, Phenomen Ventures, Sequoia Capital, Draper Fisher Jurvetson, Crosslink Capital, Accel Partners, CompuCredit, Omidyar Network, Meritech Capital Partners, Tomorrow Ventures and Volition Capital.
Aaron Vermut, Prosper Marketplace’s CEO, said: “The explosion of interest in [person-to-person] lending demonstrates that a shift is in progress in the way that consumers borrow and lend. This new funding will help us scale the business to meet this growing awareness and demand.”