Zilch, the first ad-subsidized payments network (ASPN), announced £100 million in securitized debt financing arranged by Deutsche Bank (DB). This financing will enable Zilch to grow its business and accelerate Zilch’s ability to create and launch new products for a wider base of customers.
In under four years, Zilch has achieved remarkable growth, hitting over 4 million customers and now processing over 10 million monthly payments. And Zilch gives customers a reward-earning debit and zero-interest installment offering in one.
This platform has already generated over £2.5 billion in commerce and saved its customers more than £450 million in fees and interest through its ad-subsidization model, as it works to eliminate the high cost of consumer credit.
KEY QUOTES:
“We’re thrilled to announce the financing as it marks a transformative step in Zilch’s journey. With this new securitization, we’re poised to triple sales volumes and achieve significant capital efficiencies as we continue to drive billions in commerce to our retail network and, in turn, hundreds of millions in savings and subsidies to our customer base.”
“This partnership not only provides an excellent opportunity for debt investors to join in Zilch’s success, but it also enables us to accelerate the rollout of our feature roadmap which will broaden wallet and market share. We’re adding over 100,000 new customers every month, doubling revenue year over year, and this deal will allow us to build upon that momentum.”
– Zilch CEO and Co-Founder Philip Belamant
“We are excited to announce our entry into the securitization market. Optimizing our capital structure and pricing is key to providing our customers with more flexible ways to pay. Deutsche Bank really leaned in to find a bespoke solution to match our uniquely capital-efficient model.”
“The financing sets an initial benchmark for us to price our debt issuance in the future, allowing us to competitively match the pricing and terms as the business continues to develop. Finally, the securitisation represents a major milestone as we work towards an IPO in the future.”
– Hugh Courtney, Chief Financial Officer of Zilch
