5 Reasons Why GreenSky Could Be Worth $4.4B At IPO
GreenSky is a digital lending platform that partners with home contractors, specialty retailers, and healthcare professionals to offer consumers point-of-sale financing. In 2017, the Atlanta-based fintech unicorn did $326M in total revenue.
GreenSky plans to raise $750M in an upcoming IPO that would value the lending platform around $4.35B, on par with the company’s most recent valuation in the private market. While other alternative lenders such as Lending Club and OnDeck have floundered in the public markets, here are five reasons why GreenSky’s IPO could be a fintech winner.
1. GreenSky takes a platform approach
GreenSky has scaled a model in which it essentially acts as a middleman for loans. One the one hand, it partners with banks, which pay GreenSky a percentage of loans generated, and, on the other hand, works with home remodeling contractors, who actively market GreenSky’s solution to homeowners. These contractors will also pay a percentage of the loan amount to GreenSky. Home Depot is a prominent partner of the digital lending platform.Read More
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