Landbay Ready to Climb P2P Ladder

By Ryan Weeks on 4th December 2014

P2P/Marketplace Lending

Nascent property lending specialist Landbay is clearly targeting a fast ascent to the ranks of the peer-to-peer elite.

Landbay Ready to Climb P2P Ladder

The platform specializes in a peer-to-peer funded buy-to-let mortgage offering that pays out a fixed 4.2% p.a. to lenders. Landbay kicked off life in the alternative finance space by successfully closing a £250k campaign via the uniquely structured equity crowdfunder Seedrs. Now the platform is looking to up its game to the next level by completing a £1.5m institutional investment round – which was led by Omni Partners and included an asset manager and an angel investor. The amount of equity given up has not been disclosed.

In addition to the round, Landbay is entering into a newly forged relationship with Omni in order to help develop its online alternative lending business. The arrangement is designed to enhance both Omni and its affiliates’ expertise in the alternative lending market.

John Jenkins, speaking for Omni said:

“Omni and its affiliates have built a successful and well-established alternative lending business.  We are always looking to identify interesting developments in the lending space for our investment partners.  Landbay is a highly credible player that stands out in a burgeoning market. We liked the clarity of their strategy and the quality and experience that the management team bring to this fast growing space. We are confident in their ability to grow a successful business.”

Landbay recently became the 9th member of the P2PFA – and indeed the youngest member of the industry trade body. The Association holds its members to a higher standard of conduct than is required by FCA regulation, and enlisting may be seen as a serious statement of intent from the early-stage buy-to-let mortgage platform. Landbay’s membership also translates to a general show of approval from the industry’s most well-established platforms – Zopa, RateSetter, Funding Circle, etc. – each of which must consent to the on-boarding of all new member platforms.

With everything shaping up rather nicely, John Goodall, Co-Founder and CEO of Landbay, offered a punchy prediction:

“Our new investors bring a wealth of experience and scale in the secured lending and mortgage space – it was very important to us that this round was strategic and the synergies that are created by our partnership with Omni will greatly assist our goal of building a £1 billion buy-to-let mortgage book over the next 4 years.”

Comments

AltFi Amsterdam Summit 2018

AltFi is returning to Amsterdam for its second annual Summit in the city. The inaugural event last year was a roaring success, with key figures from across Continental Europe's alternative finance and digital banking sectors highlighted. These included Jeroen Broekema, managing director of Funding Circle Netherlands, and Mieke van Engelen, head of innovative partnerships at ABN AMRO's standalone lending platform, New10.

5th November 2018


Companies in this Article:

Landbay
Seedrs

More like this:

Fellow Finance goes public

10th October 2018
George Geddes

Funding Circle’s slide continues

4th October 2018
Daniel Lanyon

P2P lender Folk2Folk surpasses £250m in loans

16th October 2018
George Geddes