Younited, the leading instant credit provider in Europe, offers European households - in France, Italy, Spain, Portugal, and Germany - financing solutions for projects and purchases up to 50,000 euros.
Younited relies on an “originate to distribute” model whereby private debt and public market investors (e.g., banks, asset managers, pension funds, insurance companies) are offered the opportunity to finance GMV¹ originated through Younited’s platform, earning attractive returns on a short duration asset class (below 2 years).
A number of large institutional investors have opted for the investment opportunity and financed most or part of GMV in France, Italy, Spain, and Germany. Notably, Younited secured in 2021 a €300m transaction with asset manager M&G.
Today, Younited announces the signing of a €100m revolving financing line from Natixis CIB to fund its French and German originations. Youni ABF-1 (“Younited Asset Backed Financing – 1”) is an innovative instrument which allows Younited to benefit from a €100m collateralized revolving financing at an attractive rate, while keeping the flexibility required by its focus on continuous portfolios distribution to term investors.
This operation is a further step into Younited’s GMV funding diversification which today relies on (i) investments from private debt and public markets investors, (ii) financing lines and (iii) deposits, with a strong bias towards private debt and public markets.
As Younited reached in H1 2022 the milestone of €2bn annual GMV run rate, a +95% growth vs. prior year, this operation will contribute to secure funding for the volume growth ahead.
¹ GMV = Gross Merchandise Value = Credits originated through Younited platform
Chief Financial Officer at Younited
“This innovative financing line and its revolving nature will offer Younited great flexibility for the funding of the GMV originated through its platform, which mainly relies on distribution to private debt and public markets investors. This operation confirms our ability to fund GMV at an affordable cost, even in the current complex interest rate environment. I want to thank Natixis CIB’s teams that have done a great job helping us design this tailor-made transaction.”
