The property lending platform has seen its valuation swell to nearly £30m, a substantial increase since its first equity crowdfunding round.
Seedrs originally raised money - £71k - back in 2013 at a pre-money valuation of £616k. The latest round values the platform lender at £29m. Even without the 40 per cent tax relief investors benefitting from the Seed Enterprise Investment Scheme (SEIS) will have seen a more than 46x multiple return.
Having already raised £1.25m in the latest round, the specialist is opening its latest equity funding round to new investors through the Seedrs platform.
Landbay says the new capital raised in the round will “allow further investment in Landbay’s technology platform and distribution capability, helping it to further modernise its mortgage funding in what is now a more innovative and exciting financial space than ever.”
Landbay has orginated more than £25m in past three months bringing lending volumes to £100mm since it launch.
March 2018 was a record month for both mortgage completions and applications for Landbay. Owing to this significant growth in revenue and gross profit the company expects to hit profitability in Q4 2018.
John Goodall, CEO and founder of Landbay said: “It is only natural and right to open this equity round up to retail investors, inspiring people to see the possibilities in property investment. Over the past 18 months the business has matured significantly and we now have the mortgage funding, intermediary partners, technology and capacity in place to support the continued expansion of the company. Our sights are now set on becoming a publicly listed company in the future,” he said.
“Seedrs is a pioneer in regulated equity investment, and the benefits it brings to retail investors through fast growth companies like Landbay is vast. We have had a long relationship with the company and value the shareholder protections it gives to retail investors via its nominee structure,” he added.
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.