OakNorth, a London, UK bank that provides debt finance to fast-growth businesses and established property developers, received a £154m investment.
Backers included The Clermont Group, Toscafund and Coltrane.
The company intends to use the funds to continue to expand its business reach.
Launched in September 2015, OakNorth is a UK bank providing fast, flexible and accessible debt finance (£500k to £20m) to UK businesses. In 25 months, the bank has a loan book of over £800m with clients including LEON, Galliard Homes, Frogmore, Brasserie Blanc, Strawberry Star, and The Collective.
Founded by Rishi Khosla and Joel Perlman, OakNorth has leveraged ACORN, a cloud-based data and technology platform, which enables lenders to originate, underwrite, monitor, and book transactions faster and more efficiently. Its sources millions of data items on SMEs across various parameters, sectors, and markets, and then uses machine learning algorithms to pull out the pieces of data that lenders need to make more informed credit decisions. ACORN’s team of credit analysts and data scientists manage the process, training the machine learning algorithms, so that the platform continues to evolve.
OakNorth is authorized by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.