Swedish digital lender Lendify has reportedly raised SEK1bn ($115m) investment to expand its services across Europe.

The funding came from asset management company Insight Investment, Bloomberg reported. Last year, the asset manager provided SEK1.5bn capital infusion to Lendify.

Lendify CEO Nicholas Sunden-Cullberg said that he intends to use the fresh capital to ensure Lendify dominates the consumer-loan market.

He said: “Households should not have any reason to consider any other loan provider. We will offer the best price and the best customer experience.”

The lender focuses on peer-to-peer (P2P) lending and relies on institutional capital for funding.

The company has $300m worth loan book and serves nearly 40,000 active savings and loan customers, the report added.

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Lendify also intends to use the new capital to prepare its proprietary credit model for other European markets.

Sunden-Cullberg added: “We want our model to be independent from local credit reference agencies within a couple of years, and that would both provide us with a stronger position in Sweden and allow us to export it to new markets. That requires data sources that aren’t local, such as transactions on bank accounts.

“We have earlier said that Lendify will become a really great company first after we’ve been through a deep recession.

“We have had markedly better credit performance over the past two quarters than we had expected when the pandemic emerged.”

He added that the company’s year-to-date credit losses are “slightly below the average of the niche banks in Sweden.”

Lendify top investors include Hakan Roos, Martin Gren, Richard Goransson and Lendify founder John-Christian de Champs.

Earlier this year, the company planned to raise over SEK700m to secure regulatory nod to become a credit market company and offer savings accounts to its customers.

However, the fundraising was delayed as the approval never arrived, Bloomberg said.