Banjo Loans has partnered with Aura High Yield SME Fund
Banjo will be able to expand its loan book up to A$100 million, thanks to a deal with Aura High Yield SME Fund.
Aura High Yield SME Fund has inked in a deal with fintech lender Banjo Loans to build a A$20m revolving loan facility and expand Banjo’s loan book.
The fund hopes to provide investors with a 12% return, a press release from both companies indicated.
“Partnering with Aura as a debt financing partner was a strategic decision for Banjo. Their strong presence and networks throughout APAC puts us in good stead to expand the loan book sustainably,” said Andrew Colliver, CEO of Banjo Loans.
This facility, alongside a senior facility provided by an Australian bank, will enable Banjo's lending capacity to exceed A$100 million, making it one of the larger SME fintech lenders in Australia.
Banjo was founded by Mr Colliver, who left a senior position at NAB to start the company.
“After an extensive due diligence period we are happy to execute our seed deal for the fund with Banjo,” said Brett Craig, Director of Aura Group.
“Banjo have an experienced management team, strong credit assessment, customer friendly platform and have built a solid foundation to execute their expansion plans.
“We look forward to working with Banjo on the next stage of their evolution.”