Pagaya Technologies LTD. (NASDAQ: PGY), a global technology company delivering artificial intelligence infrastructure for the financial ecosystem, and Värde Partners, a global alternative investment firm specializing in credit and credit-related assets, announced the closing of PAID 2023-S2, “continuing a partnership to provide funding and growth for credit unions.”
In the current macroenvironment, “coupled with regulatory requirements and increasing liquidity pressures, there is growing demand from credit unions and banks for solutions to help optimize their balance sheets.”
This transaction builds on Pagaya’s proven track record of “partnering with well-capitalized investors like Värde to solve these challenges.” Following a similar deal in May, Pagaya and Värde are partnering to “provide over $100 million in capital to a multi-billion dollar credit union, in exchange for consumer credit assets that will be securitized in the PAID 2023-S2 transaction.”
Pagaya’s tech-enabled two-sided network “allows financial institutions to grow originations, while offering investors real-time access to diversified assets at scale.”
By enabling originations and stabilizing balance sheets, Pagaya delivers “a scalable solution to the banking ecosystem and connects more people to financial opportunity.”
Paul Limanni, Chief Capital Officer at Pagaya, said:
“We continue to quickly leverage consumer data to facilitate capital investment for depository institutions in these volatile markets. Together with our like-minded partners at Värde, we’re able to continue to expand reach and provide attractive capital solutions to platforms and investors.”
As noted in the update, Pagaya (NASDAQ: PGY) is “a global technology company making life-changing financial products and services available to more people nationwide, as it reshapes the financial services ecosystem.”
By using machine learning, a vast data network and a sophisticated AI-driven approach, Pagaya says it “provides comprehensive consumer credit and residential real estate solutions for its partners, their customers, and investors.”
Its proprietary API and capital solutions integrate into its network of partners “to deliver seamless user experiences and greater access to the mainstream economy.”
Pagaya has offices in New York and Tel Aviv.