Latest news with #SanjivDas
Business Insider
7 days ago
- Business
- Business Insider
Pagaya president Das sells 31,382 class A ordinary shares
In a regulatory filing, Pagaya (PGY) president Sanjiv Das disclosed the sale of 31,382 class A ordinary shares of the company on June 3 at a price of $17.15 per share. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Mint
22-05-2025
- Business
- Mint
The AI middleman expanding in the consumer-bond bonanza
Pagaya Technologies, the AI-powered consumer-lending firm, is issuing its first bond backed by loans made to online shoppers, part of a surge in financial engineering by Wall Street that is accelerating the flow of credit to U.S. consumers. The firm, founded in 2016 by Israeli entrepreneurs, acts as a financial middleman between the bond market and consumer lenders such as U.S. Bank and the Swedish financial-technology firm Klarna. Pagaya is set to issue $300 million of bonds Thursday that will be used to fund buy now, pay later, or point-of-sale, loans offered by Klarna. JPMorgan Chase and Atlas, the asset-backed finance arm of Apollo Global Management, are arranging the bond sale, a person familiar with the matter said. Over the past 12 months, Pagaya has issued about $5 billion of bonds, according to the data provider Finsight. The bonds were backed by bundles of unsecured personal and auto loans that Pagaya has previously focused on. Pagaya is moving into buy now, pay later loans because that is one of the fastest-growing segments of consumer lending, accounting for an estimated 8% of holiday-season purchases last year. That puts the company in head-to-head competition with Affirm, the dominant fintech company in buy now, pay later lending. Affirm focuses on lending to consumers with high credit scores. In contrast, Pagaya has grown quickly by financing 'second look" loans to borrowers with modestly lower credit scores that partners such as Klarna would otherwise reject. Pagaya says it uses artificial intelligence to analyze large data sets of loans and borrower behavior in underwriting the loans. While Pagaya is making the loans and bundling them into its bonds, its lending partners get the appearance of approving more borrowers, said Pagaya President Sanjiv Das. 'The merchant is happy because they get more approvals and that is very significant for Klarna," he said. The extra firepower is fueling expansion at Klarna, which is trying to place its initial public stock offering. Affirm has made buy now, pay later loans to Walmart's online shoppers since 2019. Klarna recently said it would start financing for the retailer's customers. The new business for Pagaya is boosting its stock price. For now, bond investors are demanding much higher yields to buy bonds issued by Pagaya than by its competitors. A $220 million portion of the bonds will be rated triple-A by Kroll Bond Rating Agency and will yield about 1.75 percentage points more than benchmark Treasury bonds, the person familiar with the matter said. A bond Affirm issued recently yielded 0.95 percentage point over Treasurys, according to Finsight.
Yahoo
22-05-2025
- Business
- Yahoo
Pagaya Accelerates Point-of-Sale Market Penetration, with Over $1 Billion in Additional Funding Capacity Through Inaugural POS Securitization
Pagaya's POS product and leading ABS funding capabilities are in growing demand from POS lenders to strengthen merchant satisfaction and activation Inaugural POSH 2025-1 transaction is AAA-Rated by KBRA and establishes flexible funding capacity to scale $1 billion+ in POS originations NEW YORK, May 22, 2025--(BUSINESS WIRE)--Pagaya Technologies LTD. (NASDAQ: PGY) ("Pagaya" or "the Company"), a global technology company delivering AI-driven product solutions for the financial ecosystem, today announced the launch of POSH (Pagaya Point of Sale Holdings Trust), a new asset-backed revolving securitization program focused on point-of-sale financing ("POS"), which will enable Pagaya to be a growth catalyst for point-of-sale providers in the U.S. By combining increased funding capacity through POSH with Pagaya's embedded AI-driven underwriting technology, lenders can approve more customers at the point of sale. This boosts merchant satisfaction, broader adoption and activation. The inaugural transaction, POSH 2025-1, is a $300 million AAA-rated deal, with an 18-month revolving period, and is expected to close next week. The revolving nature of the deal structure allows Pagaya to reinvest capital as loans are repaid, significantly expanding overall lending capacity, while also increasing capital efficiency. The POS product is optimized for loans with shorter durations – typically six months – and credit profiles in the 600+ range, empowering lenders to approve more customers without additional credit risk. As demand continues to surge across the POS ecosystem, Pagaya is delivering new capital solutions to drive the next phase of lending partner growth. "The launch of POSH unlocks a new chapter of strong growth for us in the point-of-sale space," said Sanjiv Das, Co-Founder and President of Pagaya. "It enables Pagaya to support our existing POS lending partners at scale by powering more customer approvals, which in turn drives greater merchant satisfaction and activation. These results are delivered seamlessly through our API integration into our partners' origination systems, making it easy to unlock value for both lenders and merchants. This is a powerful example of combining differentiated technology and structured finance to solve real market needs in one of the most exciting and fastest-growing segments of consumer credit." Pagaya is seeing increased demand from point-of-sale lenders for its lending product solutions, and the POSH program will support that demand in combination with other funding channels. Leveraging the Company's ABS market expertise to support such a rapidly growing and dynamic market segment, underscores Pagaya's ability to continually meet the needs of capital markets investors. "We're proud to launch POSH and bring Pagaya's category-leading securitization expertise to the fast-growing point-of-sale market, which we expect will represent a meaningful part of our future business," said Gal Krubiner, Co-Founder and CEO of Pagaya. "Through all market cycles, we continue to scale and diversify our lending products and long-standing investment offerings, while innovating with new structures to fuel growth in more nascent markets, such as POS. As the number one personal loan ABS issuer in the U.S., Pagaya aims to also be the leading issuer of POS ABS, reinforcing our position as a leader in structured finance." POSH 2025-1 has over 20 unique investors participating, some of whom were new investors to Pagaya's deals, with several repeat investors across Pagaya's other ABS programs. The POSH 2025-1 transaction continues Pagaya's strong momentum in ABS markets, including our PAID and RPM programs. Year-to-date, Pagaya has executed over $2.8 billion in rated ABS deals, demonstrating demand for its platform and asset performance. Since inception, Pagaya has raised nearly $29 billion across 71 ABS transactions to fund loan originations across multiple products. About Pagaya TechnologiesPagaya (NASDAQ: PGY) is a global technology company making life-changing financial products and services available to more people nationwide, as it reshapes the financial services ecosystem. By using machine learning, a vast data network and an AI-driven approach, Pagaya provides comprehensive consumer credit and residential real estate products for its partners, their customers, and investors. Its proprietary API and capital solutions integrate into its network of partners to deliver seamless user experiences and greater access to the mainstream economy. Pagaya has offices in New York and Tel Aviv. For more information, visit View source version on Contacts Investors & Analysts ir@ Media & Press press@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
