Calgary-based LendingArch, a marketplace platform allowing users to browse customizable loan options, announced its partnership with NewOak Asset Management, which will be able to purchase up to $2 billion in loans from LendingArch over three years.
With NewOak purchasing from LendingArch, the loans will be removed from LendingArch’s books, freeing them to provide more flexible loans to Canadians.
NewOak, which has advised on over $5.5 trillion in assets, will also be taking on an advisory position on LendingArch. The asset management company will advise LendingArch on capital markets, credit, growth, and additional business opportunities.
The company said it plans to make more similar institutional-based deals.
“We’re thrilled to build this collaborative partnership with NewOak because of their industry expertise, and the invaluable role they’ll play in helping advise us as we grow into new verticals and markets,” said Arti Modi, LendingArch CEO. “Whether Canadians are borrowing money to consolidate debt, pay for home improvement, or pay for medical procedures not covered under insurance, this partnership will allow us to provide even more low-cost loans to Canadians, which have the potential to make a real impact on their quality of living.”
In March, LendingArch launched a POS loan system for medical expenses. LendingArch’s POS system breaks down expensive medical needs, such as MRIs and hearing aids, into monthly payments that do not require the patient to use, or have, a credit card.
Photo by LendingArch.