In most cases, when a fintech startup announces that a new investor has provided funding to the business, the investor is an investment firm or other private investor.
Lender’s price, a provider of digital consumer lending and mortgage technology platforms, does it a little differently.
The company’s lead investor is none other than Kevin Costner (yes, that one), and now the company has a new investor, a top depository institution.
Yes, a bank invests in a loan startup.
Lender Price announced on Thursday that Bank of regions acquires a stake in the company.
As part of the deal, Regions Bank and Lender Price will also establish a working relationship in which the fintech company will assist regions with their digital lending process.
“The regions, working with Lender Price, will focus on streamlining the digital processes of the regions and simplifying interactions between bankers, borrowers and the bank,” the companies said in a statement. “For consumers, the benefits will include fewer inquiries, the integration of additional data sources for approvals and confirmations, and faster responses, which will help streamline the lending process.”
The investment is the first secured by Jerry Halbrook, who took over as CEO of Lender Price last year. When the company appointed Halbrook CEO, it tasked him with securing funding to fuel the growth of the company.
“We are delighted with our strategic collaboration with Regions Bank and the confidence shown in our business and technology products as a critical component of its digital lending experience,” Halbrook said of the deal.
For Regions Bank, the deal has a dual benefit, helping to improve its digital lending platform and helping Lender Price grow.
“We have made many improvements over the past year to facilitate the customer experience, from redesigning our digital applications to electronic signature capture,” said Logan Pichel, regional business operations manager. “This investment in Lender Price and our working agreement provides significant growth capital for Lender Price, aligns our mutual interests in digital transformation and continues to move us forward towards the goal of making banking easier for our customers. “
Financial terms of the deal were not disclosed.