- Australian neo-lender Wisr (WZR) advises its second warehouse funding facility of $225 million is now operational
- The company’s existing secured vehicle loan book of roughly $127 million will be transferred across as part of the new warehouse deal
- WZR says the new facility will provide immediate margin benefit on top of the additional capital which is now available to the business
- Additionally, the fintech stock explained the warehouse loan is backed by one of the country’s big four banks and a mezzanine lender
- Shares in Wisr are trading steady at 27.5 cents each
Australian neo-lender Wisr (WZR) advises its second warehouse funding facility of $225 million is now operational.
The fintech stock said its second vehicle finance went live on Monday, with its existing $127 million vehicle loan book to be transferred across as part of the deal.
The company said the new facility would provide immediate margin benefit on top of the additional capital which is now available to the business.
Additionally, WZR explained the warehouse loan is backed by one of the country’s big four banks and a mezzanine lender.
Wisr decided to lock in the second warehouse following the success of its vehicle loan product in the 2021 financial year.
Since launching, vehicle finance loans have grown to represent 20 per cent of all of Wisr’s originations at the end of June 30, 2021.
Commenting on today’s announcement, WZR Chief Financial Officer Andrew Goodwin said he believes it would fuel sales growth.
“Wisr’s new Secured Vehicle Warehouse will accelerate our revenue, path to profitability and operating leverage,” Mr Goodwin said.
“We’ve already demonstrated how we can dramatically improve our underlying loan unit economics with the Wisr Warehouse, delivering a 280 per cent increase in operating revenue in FY21 vs FY20.
“Following on from Wisr’s inaugural ABS transaction, the deal reflects the strong support for Wisr in the funding market, on the back of the outstanding performance of the Wisr loan book, our market-leading unit economics, lending model, and risk governance.”
Shares in Wisr were trading steady at 27.5 cents each at the close of market on Monday.