Tala Announces $40 Million in Debt Financing from Victory Park Capital
Press Release
Oct 26, 2021
Partnership with VPC will enable expansion of core credit product in Mexico
LOS ANGELES, CA and CHICAGO — October 26, 2021 — Tala, the global technology company building the world’s most accessible financial services, announced today it has received $40 million in debt financing from Victory Park Capital (“VPC”), a leading global alternative investment firm. This financing follows the recent close of Tala’s Series E funding round.
The partnership with VPC 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 AI-powered underwriting models allow the company to rapidly provide capital to a population that is 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,” said Shivani Siroya, Tala founder and CEO. “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 an easy and efficient loan application process to borrowers. Unlike the paper-based loan application process of banks, Tala 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 wide 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,” said Jason Brown, partner at VPC. “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.”
Tala successfully scaled its platform in Mexico over the course of 2019 and is poised to continue future growth with the additional financing from Victory Park Capital.
About Tala
Tala is a global technology company building the world’s most accessible financial services. More than 6 million people across Kenya, the Philippines, Mexico, and India, have used Tala products to start and expand small businesses, manage day-to-day needs, and pursue their financial goals with confidence. Tala has raised more than $350 million from visionary investors including Upstart, the Stellar Enterprise Fund, RPS Ventures, the J. Safra Group, IVP, Revolution Growth, Lowercase Capital, and PayPal Ventures. Tala.co
About Victory Park Capital
Victory Park Capital is a global alternative investment firm that provides capital to emerging and established businesses in the U.S. and abroad. The firm has a long track record of executing debt and equity financing transactions with some of the largest global Fintech companies. The firm was founded in 2007 and is headquartered in Chicago with additional resources in New York, Los Angeles and Austin. VPC is privately held and a Registered Investment Advisor with the SEC. For more information, please visit www.victoryparkcapital.com.
Media Contacts:
Tala
Victory Park Capital
Jordan Niezelski, Edelman