Petal, a New York, NY, and Richmond, VA-based credit card and financial technology company, closed a committed $200m debt facility from Victory Park Capital.
The company has also agreed to a multi-year extension of its existing term loan facilities and closed a new term loan facility for up to $20m of incremental commitments with Trinity Capital Inc. (NASDAQ: TRIN) (“Trinity”), a provider of diversified financial solutions growth-stage companies. In addition, Petal has raised more than $20m in new equity financing from its existing investors, building on the $35m in funding announced in May.
These new sources of capital provide Petal with substantial fuel to expand the Petal credit card program, which provides access to high-quality Visa® credit cards (issued by WebBank) to consumers who are new-to-credit, without requiring established credit scores to qualify. To date, nearly 400,000 consumers have been approved for Petal credit cards, including more than 100,000 new cards approved in 2022.
Led by Jason Rosen, CEO and Co-Founder, Petal provides credit cards that don’t require a credit score, via a new approach that enables individuals to use their banking history to qualify for credit and establish a credit history, making credit more accessible to millions of U.S. consumers without credit histories, or whose traditional credit scores provide a limited view into their financial status and creditworthiness.
With the addition of this new funding, Petal has raised more than $300m in equity capital and more than $680m in debt financing.
FinSMEs
03/08/2023