Investment

Franklin Templeton and XP Asset Management invest $39.9M in Brazil’s Rebel

LatAm ListRebel, a Brazilian online personal loan platform, recently announced its second public offering of regular debentures. Franklin Templeton, XP Asset Management, and other players invested $39.9M (R$167M) in the startup.

The amount raised in this round was ten times greater than the $4M (R$16.6) raised in 2018. This investment will allow Rebel to provide services to more consumers.

“It is the fuel for us to continue accelerating. We have very advanced loan-analysis models that use Machine Learning and Artificial Intelligence. This allows us to assess and price every loan request precisely in just a few minutes, which guarantees us a default rate that is substantially lower than that of the market,”André Botelho Bastos, Rebel CFO and founder, explained.

Rebel aims to transform the lending industry in Brazil.

“Banks usually say they are obligated to charge high interest rates because non-payment is high, causing a vicious and negative cycle. We want to create a virtuous cycle that inspires more confidence, security, and improved loan proposals in Brazil,” said Bastos.

Read more on LAVCA.

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