Zencap, a Berlin, Germany-based online lending marketplace for small business loans in Continental Europe, is to receive up to €230m from Victory Park Capital, an asset management firm focused on middle market debt and equity investments.
Under the terms of the preferred partnership agreement, Victory will be the largest institutional investor on the P2P platform and has secured a credit facility from a global bank to leverage Zencap loans at favorable rates.
Founded by Dr. Christian Grobe and Dr. Matthias Knecht, Zencap allows SMEs in Germany, Netherlands and Spain to apply for loans between €5k and €250k. The small business loans on the platform are funded by private retail investors via the marketplace as well as institutional investors.
The company, which employs a team of more than 70 experts with expertise in finance and technology, is backed by Rocket Internet.