Finitive, a fintech platform that connects institutional investors with alternative lending investments, announced on Monday its client Platinum Auto of Tampa Bay secured a $100 million credit facility through its platform. Platinum notably purchases auto loan contracts from a network of over 300 auto dealers in the southeast region of the U.S.
According to Finitive, the facility includes an accordion to expand to $150 million and was provided by investment funds managed by an affiliate of Fortress Investment Group LLC, an investment manager with approximately $40 billion of assets under management as of March 31st. Finitive also reported:
“The facility will be used by Platinum to refinance existing debt, fund new originations, and acquire secondary portfolios from other auto lenders. In conjunction with the transaction, Platinum also secured a $15 million term loan from a New York-based fund to support its operating and working capital needs.”
Since its founding in 2012, Platinum has purchased over $140 million of auto loans through its core point of sale strategy, as well as bulk portfolio purchases. Speaking about the facility, Michael Kaplanis, CEO of Platinum, added:
“Through the Finitive platform we were able to efficiently identify several potential financing sources and satisfy needs across our capital structure. These two credit facilities have substantially expanded our financial capacity and flexibility which will fuel our growth going forward.”