AAA Borrowell bags $25m

Borrowell bags $25m

Canada-based financial education and credit check platform provider Borrowell has raised $25m from investors including insurer IA Financial Group and financial services firms Equitable Bank and National Bank of Canada.

National Bank of Canada took part in the round through its strategic investment arm, NAventures, and it also featured Kensington Capital Partners, BDC Capital, Impact Engine, Portag3 Ventures and White Star Capital.

Borrowell provides personalised product recommendations for credit cards, mortgages, insurance and other financial services products through an online platform. It also offers free credit scores, weekly credit monitoring services and financial education resources.

Some of the capital will finance the acquisition of Canada-based loan provider Refresh Financial, while the remainder will support general growth. Refresh Financial markets a secured savings loan product that enables customers to build their credit and savings at the same time.

The company has secured $55m of equity funding to date, having received $20m in a series B equity and debt round in June 2019 co-led by White Star Capital and Portag3 Ventures that also featured Silicon Valley Bank, Clocktower Ventures, Argo Ventures and Gaingels.

Portag3 Ventures, White Star Capital and Equitable Bank co-led Borrowell’s $57m series A round in 2017, which consisted of $12m of equity financing and a $45m credit facility, investing with FirstOntario Credit Union and undisclosed new and existing backers.

In 2016, Borrowell collected $6.4m of operating and loan capital from financial services group and Portag3 parent Power Financial Corporation, Equitable Bank, Freycinet Investments, Hedgewood, Oakwest Corporation and Adam Felesky.

Equitable Bank and Oakwest had joined angel investors to supply $5.4m of seed funding for the company in 2014.