Progreso Financiero, a financial institution focused on lower-income Hispanic families, has secured a $30m mezzanine debt facility from BlackRock Kelso Capital Corporation (NASDAQ: BKCC).
The company, which secured $25m Bank of America and Silicon Valley Bank in September (read here), intends to use the proceeds to extend its reach. It has raised $120m in debt capital to date.
Created in 2005 by CEO James Gutierrez, Progreso Financiero provides loans without collateral to clients who lack a credit history using a proprietary risk scoring system. Since its founding, it has made more than 195,000 loans, extending approximately $210m in capital to underserved Hispanic families (in the United States there are more than 23m Hispanics who are unbanked or underbanked) and expanding to 69 locations across California and Texas.