The transaction was made by estimating future revenue and the valuation was EUR42 million, to which a risk premium discount was applied. Four investors contributed to the financing, with EAD.ro as the main investor, and the project was coordinated by Matei Ladea and Bogdan Georgescu, partners of Omnia Capital, assisted by law firm Jlaw, according to 123Credit.ro representatives.
123Credit.ro is a marketplace that calculates the amount a customer can borrow, compares banks’ offers in real time and eases the 100% online application process without the need to go to the bank in person.
123Credit.ro representatives said the platform currently brings more than 20 financial institutions under the same umbrella.
123Credit.ro officials expect over EUR1 billion in consumer and mortgage loans to be granted through the platform over the next three years.
Duncan McGinley established lending platform 123Credit.ro alongside his business partner Sebastian Piu in order to democratize the access to loans in Romania and Eastern Europe. In the first funding round, the platform was backed with EUR100,000 by Serban Oarza, a former CEO of RTC, through investment fund Oresa Ventures.