- Additional financing brings Series B Funding Round Total to $30.8 million
- Kafene recently surpassed $100 million in customer financing and upsized its credit facility to finance more consumers
NEW YORK, Oct. 2, 2023 — Kafene, a point-of-sale financing platform that helps offer underserved consumers more flexible purchase options through transparent lease-to-own (LTO) agreements, today announced it extended its Series B round to include an additional $12.6 million in new equity capital. This brings Kafene’s Series B total to nearly $31 million. Kafene had previously announced its initial $18 million Series B fundraise in September 2022. Third Prime led the initial fundraise as well as the extension alongside existing investors.
Kafene, which recently added its first ever Chief Revenue Officer, Jonathan Kurzner, will use the capital to further accelerate its merchant partnerships and its overall commercial business while underwriting more consumers to leverage an opportunity created by broader market retreat among consumer financing companies.
“When we announced our initial Series B, we were confident in our ability to underwrite a consumer whose conditions are inherently recessionary. Our plan continues to be to double down on point-of-sale merchant partnerships as others retreat,” said Neal Desai, Chief Executive Officer, Kafene. “The thesis is playing out as predicted with unit economics turning positive late last year and consumer credit quality rising to the highest it’s been since inception. Credit performance remains strong, the balance sheet has grown, and we continue to gain traction while others pull back. This is a very exciting time in the evolution of Kafene.”
“We’re very proud of what Kafene has been able to accomplish over the past four years and we believe strongly in its growth trajectory as it seizes on a significant market opportunity,” said Wes Barton, Co-Founder and General Partner, Third Prime. “What Kafene offers is a clear win-win proposition for both retailers and consumers, helping it generate continued momentum and accelerating enterprise value.”
Kafene has financed more than $100 million in lease-to-own agreements in less than three years after the product first launched. The product is structured in a way that is simple, consumer-friendly, and transparent, serving the more than 100 million consumers in America who are unable to access sufficient credit on fair terms. Kafene focuses on the largest unmet needs in big ticket categories such as furniture, appliances, electronics, tires and other durable goods.
For more information on Kafene please visit www.kafene.com.
About Kafene
Kafene is a point-of-sale financing platform utilized by merchants to help offer underserved consumers more flexible purchase options through transparent lease-to-own (LTO) agreements that help retailers of furniture, appliances, electronics, tires and other goods meaningfully broaden their addressable market. Kafene utilizes more than 20,000 data inputs in tandem with best-in-class artificial intelligence and machine learning technologies to underwrite, approve, use efficient risk-based pricing, and enable payment in a near-instantaneous manner while creating a best-in-class customer experience. To learn more about Kafene please visit www.kafene.com, and to learn more about Kafene’s commitment to customer experience and consumer protection, please visit here: https://kafene.com/consumer-friendly-commitments
Media Contact:
Roger Sauerhaft
914-804-9670
[email protected]
SOURCE Kafene
