Tala, a global technology company building accessible financial services, received $40 million in debt financing from Victory Park Capital, a global alternative investment firm. This financing follows the recent close of Tala’s Series E funding round.
The partnership with Victory Park Capital will enable Tala to expand its core credit product in Mexico and increase financial inclusion by offering instant credit to more underserved individuals across the country. Tala’s mobile technology and artificial intelligence-powered underwriting models allow the company to provide capital to populations that are unable to access credit through traditional financing sources.
“It’s expensive and inconvenient to be excluded from the financial system. That’s why Tala has long been committed to leveraging mobile technology and data science to make financial services more accessible, more useful and more affordable for the people who need them most,” Shivani Siroya, founder and CEO of Tala, said. “Our partnership with Victory Park Capital is important to us, as we share the same mission of increasing financial inclusion. With their help, we’ll be able to quickly expand Tala’s ability to provide solutions for consumers along every step of their unique financial journey.”
Tala provides a loan application process to borrowers that, unlike the paper-based loan application process of banks, allows prospective borrowers to apply for credit through a smartphone application that takes just a few minutes to complete with one proof of ID. Approved customers receive credit in their account within 10 minutes of applying. Tala also offers its customers a variety of payment options, ranging from payments at brick-and-mortar locations to online payment options.
“We are excited to be partnering with Tala at a pivotal moment in the company’s growth trajectory and evolution as a leading fintech company in Mexico,” Jason Brown, partner at Victory Park Capital, said. “Tala has a strong management team and highly sophisticated credit product, and we look forward to seeing the company’s positive impact as more customers gain access to its services.”
