Agora Data, Inc. announced the successful closing on December 29, 2020, of the first-ever crowdsourced auto securitization. This revolutionary development to the world of structured finance represents a quantum leap for Buy Here Pay Here dealers and smaller finance companies and their access to capital markets funding. Through its use of artificial intelligence and machine learning, Agora Data aggregated numerous originators with portfolios ranging in size from $11,000 to more than $20 million into a single capital markets securitization.
Prior to Agora Data’s technology, direct access to the capital markets with more favorable financing terms was limited to only the largest institutional lenders and auto dealers. With an AgoraCapital crowdsourced securitization, subprime originators of all sizes now have a unique and viable financing option to obtain lower-cost capital providing liquidity and fueling growth.
“AgoraCapital has revolutionized access to affordable and abundant capital for the BHPH dealer and small to mid-tier finance companies,” said Steve Burke, CEO, Agora Data, Inc. “This type of transaction has never been accomplished before due to the complexity of different originators and lack of technology. We have overcome all of these obstacles and we are energized by this achievement that will unquestionably shape the future for dealers, finance companies, capital markets, and consumers.”
“We effectively aligned numerous Buy Here Pay Here dealers and finance companies into a single transaction,” said Chris Hawke, Chief Revenue Officer, Agora Data, Inc. “This successful transaction further validates Agora Data’s mission to develop financial solutions that advance the growth of BHPH dealers and finance companies in ways previously unimaginable.”