Molo, the UK’s first digital mortgage lender, recently announced that it has raised a further £266 million in debt and equity funding, completing its Series A equity funding round. The new funding will be used to accelerate the company’s growth through additional online lending and investment in its proprietary technology and new product propositions, taking Molo a step closer to achieving its vision of making homeownership easier for everyone.
The investment was led by global financial services firm Macquarie Group (Macquarie) and Patron Capital, a pan-European institutional investor focused on property-backed investments. The equity round was led by Yabeo, an international Venture Capital firm and supported by existing shareholders Andenes Investments, GPS Ventures and others. The capital raise comes after the first tranche of £10m for the Series A round that closed in January 2020.
Francesca Carlesi, CEO and Co-Founder of Molo said: “Molo has reimagined the whole mortgage experience from scratch; we are applying the convenience and speed of today’s technology for today’s customers. Leveraging instant decisions and real-time data validation, customers can get certainty about their mortgage directly on their mobile, in minutes rather than weeks. This additional backing is a sign of trust in Molo, and we are proud to have reputable players like Macquarie, Patron and Yabeo on our team as we seek to revolutionize the mortgage market.”
Molo brings a unique technology to the UK mortgage market which is one of the last sectors of financial services to embrace the benefits of digital innovation. Molo combines automated decisions and human expertise with an ability to integrate with its partners’ systems to deliver faster and more transparent mortgage loans, directly to its customers.
Molo has experienced significantly higher volumes of online mortgage applications post-Covid which points to the growing popularity of digital lending and the convenience of its digital model. In August and September alone, Molo’s pipeline of buy to let mortgage applications exceeded £500m.
Carolyn Porretta, a Managing Director at Macquarie Group and Non-Executive Board Director of Molo added: “The UK mortgage market is currently undergoing an enormous transformation to digitalise and make the process of getting a mortgage decision faster and easier than ever before. Molo is at the forefront of this technology and we are looking forward to working with them to realise the opportunity.”