London-based peer-to-peer lending platform FundingCircle, which enables individuals and organizations to loan money to small businesses online, has raised $150 million in series E round led by DST Global. The other investors Baillie Gifford, a fund managed by BlackRock, Sands Capital Ventures and Temasek also participated in the round. The latest round brings the total capital of the firm to date is $273 million in 6 rounds from 8 investors. The company is now valued at $1 billion.
The company is now available in U.K. and U.S., and the new funding will be used to expand the service further in both countries. Through the platform, lenders have loaned small businesses around $1 billion so far.
Founded in 2010, FundingCircle currently has around 40,000 investors putting money up for loans on its platform, with lenders ranging from individuals through to large institutions. Around 40,000 individuals, financial institutions and even the UK Government are investing in small businesses through its platform.
Other online lending platform are also included in same space including LendingClub, Prosper, Zopa and Smava. LendingClub raised $870 million through an Initial Public Offering that valued the company at more than $5 billion. Smava has also raised $16 million in funding led by Phenomen Ventures, along with existing investors Earlybird and Neuhaus Partners.