Free2, a London, UK-based financial services brand for the over 55s market, completed a fundraising round with NatWest Markets and a major European special situations fund.
NatWest Markets has provided a £200m securitisation facility to assist the company in funding new customer loans. Junior debt funding of £105m is being provided by the European special situations fund which will finance both working capital and new customer loans.
Together, the funding will be used to support the launch of Free2’s first product by earny June.
Set up by Paul Lindsay, formerly of The eXchange, Free2 is focused on developing new and innovative products aimed specifically at the 55 and over market. Its proprietary platform automates large parts of the application process whilst utilising innovative decision-based technology to address suitability criteria and to identify and protect potentially vulnerable customers. The company’s first product, which has been in testing and development for two years, will offer an innovative alternative option for individuals seeking Later Life Lending products.