Lending Club, a company which offers a peer to peer lending marketplace, announced the closing of a $24.5 million “Series C” investment round, lead by Foundation Capital and joined by existing investors including, Morgenthaler Ventures, Norwest Venture Partners and Canaan Partners.
“Lending Club is ideally positioned to capture a significant share of the US banking and investment market over the next five to ten years,” said Charles Moldow, General Partner at Foundation Capital. “The Lending Club team has built a stellar track record in a challenging environment and now has the data to show that the economic model works and delivers tremendous value to both borrowers and investors.”
Lending Club hopes to offer borrowers lower interest rates on unsecured loans and better interest rate to investors by cutting banks out of the lending process.
“We are grateful to our new and existing shareholders for their support and commitment to Lending Club’s growth and success,” said Renaud Laplanche, CEO of Lending Club. “This latest investment gives us considerable resources to further develop our platform, launch new products, offer better service to our existing customers and expand our reach to a whole new set of customers.”
