Prospa receives funding boost

Prospa Group Ltd has announced that a global investor with “deep technology investing expertise” has committed up to $65 million to one of its Australian warehouse facilities used to fund small-business loans and line-of-credit facilities.

The partner has initially committed $32.5 million in Class B notes to the warehouse facility, with the option to increase its commitment by an additional $32.5 million.

This latest partnership is in addition to the announcement of a junior funding partner late last year, which also subscribed to Class B notes in the warehouse facility.

According to Prospa, the investments would allow the group to redeploy approximately $16 million of additional equity capital back into its Australian and New Zealand business, which would bring the total released capital to $33.8 million since November 2019.

Earlier this month, Prospa also bolstered its business development team in Queensland, with two new appointments.

The SME lender appointed Simon Winters as state manager for Queensland and Goncalo Almeida as BDM, joining Clare Gallimore.

[Related: Prospa welcomes new funding partner]