Raylo raises £110m in funding led by NatWest and Quilam Capital
By Gloria Methri
British FinTech Raylo has secured a £110 million debt financing facility from NatWest bank and Quilam Capital. The company says this new financing package is a validation of its business model and its position “at the forefront” of developing and accelerating the circular economy.
Meanwhile “We are thrilled to have the support of NatWest Bank and Quilam Capital as we continue to grow and innovate,” said Karl Gilbert, co-founder, and CEO of Raylo.
“This financing supports our strategy to further expand our platform and provide even more customers with affordable and sustainable access to the tech products they really want.”
Milena Sheahan, Senior Director at NatWest said, “We are delighted to have been able to support Raylo’s future growth ambitions with this new financing facility. The business’ commitment to changing the way consumer electronics are sold and enjoyed is extremely well aligned with NatWest’s ESG objectives and passion for innovation and disruptive technologies.”
“Raylo is a progressive, forward-thinking business, with a solid platform to positively influence consumer behaviour and attitude towards the use of technology in the future. We are proud to have Rayo join us as a valued client within NatWest’s Speciality Finance customer franchise,” added Sheahan.
Raylo, which currently provides consumers with access to tech products on affordable monthly subscriptions, plans to grow both its direct-to-consumer channel and its checkout integration for merchants Raylo Pay. The FinTech says the pipeline of retailers on Raylo Pay has grown 10 folds in the last 6 months to a £3 billion p.a. opportunity.
The company’s innovative risk platform, which utilises AI models and open banking data, has played a significant role in attracting new investment. To date, Raylo has raised over £150 million, including existing equity investors: Octopus Ventures, Macquarie Bank, and Telefónica. This latest debt financing includes new Raylo infrastructure that is built for scale, with the intention to tap the securitisation markets.
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