US-based online credit and financial services platform Best Egg has raised $225m in a Series E funding round.
Healthcare of Ontario Pension Plan (HOOPP) led the round, which was joined by investment funds advised by Davidson Kempner Capital Management and an international bank.
Best Egg, which is owned and operated by Marlette Holdings, will use the proceeds to grow its credit card business, fund expansion plans, and explore new strategic opportunities.
Best Egg claims to have recorded $300m in revenue and facilitated $4.6bn in personal loans in 2021. Its offerings include a Visa-powered credit card and fee-free Best Egg Financial Health tool.
Best Egg’s credit card, which has 23,000 customers, offers credit to US customers with little or no savings and are willing to re/build their credit history.
Best Egg founder and CEO Jeffrey Meiler said: “We are excited to welcome these top tier investors to Marlette. This capital round not only reflects the success and industry-leading profitability of our personal loan business, but also the huge potential in our recently launched Best Egg Visa Credit Card product and Best Egg Financial Health, our financial wellness tool.”
HOOPP AVP of derivatives & fixed income Jennifer Shum said: “Marlette is a fintech market leader with a proven track record for growing the business, delivering strong customer service and generating consistent results.
“HOOPP is pleased to be a financial partner and to support Marlette’s continued innovation and growth, which will serve their customers while also helping to deliver retirement security to HOOPP members.”