Zilch Raises £100M Financing Deal to Fuel Expansion Strategy

19th June 2024 | Blogs , Member News , News

Zilch Raises £100M Financing Deal to Fuel  Expansion Strategy

 

  • Zilch raises £100M in securitisation debt deal led by Deutsche Bank. 
  • Business poised to triple sales volume with new milestone deal as Zilch works towards IPO. 

London | June 19, 2024 - Zilch, the world’s first ad-subsidised payments network (ASPN), today announces a key £100 million securitised debt financing arranged by Deutsche Bank (DB).  

The financing will enable Zilch to grow its business and accelerate Zilch's ability to create and launch new  products for a broader base of customers. 

In just under four years, Zilch has achieved remarkable growth, amassing over 4 million customers and now  processing more than 10 million monthly payments. Zilch gives customers a reward-earning debit & zero interest instalment offering in one. The 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-subsidisation model, as it  works to eliminate the high cost of consumer credit. 

Zilch CEO and Co-Founder Philip Belamant said:

"We’re thrilled to announce the financing as it marks a  transformative step in Zilch’s journey. With this new securitisation, 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.” 

 

Hugh Courtney, Chief Financial Officer of Zilch, said:

“We are excited to announce our entry into the  securitisation market. Optimising our capital structure and pricing is key to providing our customers with more  flexible ways to pay. Deutsche Bank really leant 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.” 

For more information on Zilch, ASPN and its innovative payment solutions, visit www.zilch.com

 

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Notes for Editors  

About Zilch  

Zilch’s vision is to eliminate the cost of consumer credit. For good. 

Zilch is a multi-award-winning and pioneer of the world’s first direct-to-consumer, ad-subsidised payments  network (ASPN). Leveraging its unique, vertically integrated, first-party-data business model, Zilch sets itself  apart from the incumbent fintech industry with a profitable global revenue source, bringing unrivalled value  to customers and marketers alike. Today Zilch is revolutionising the $50 trillion advertising and payments  industries by merging the very best of debit, credit and savings. 

Zilch provides millions of customers the freedom to go anywhere in the world (online or offline) and, when  they pay, earn up to 5% cashback & rewards on debit payments (‘Pay Now’) or spread interest-free credit  repayments over six weeks or three months. In the process, Zilch helps customers build their credit profiles  with the major credit agencies. Within 44 months of launch in 2020, Zilch amassed more than 4 million  registered customers. 

In 2023, Zilch launched its proprietary ASPN service, which allows retailers worldwide instant connection  with millions of Zilch’s first-party data, closed loop network of high-intent customers, while offering  customers personalised savings, deals and discounts codified to their habitual daily spend. 

In January 2023, Zilch struck a ground-breaking reporting agreement with the UK’s prime credit reference  agencies, transforming the UK lending ecosystem by enabling all adults to build their credit records using  interest-free credit rather than high-cost revolving credit products. 

Since April 2020, Zilch has been regulated by the Financial Conduct Authority (FCA), obtaining a consumer  credit licence through the FCA Regulatory Sandbox Programme. Driven by innovation and a commitment to  excellence, Zilch is setting new benchmarks in the industry to create a more inclusive and efficient ecosystem,  empowering millions of users to budget and manage their financial lives more effectively and transparently. 

Contacts: 

For more information, visit:www.zilch.com

Zilch - Ryan Mendy, Chief Communications Officer: comms@zilch.com 

Hawthorn - Press & Media enquiries: zilch@hawthornadvisors.com 

  

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