AI technology company Pagaya Technologies has announced a new forward flow agreement with global alternative investment firm Castlelake for the purchase of up to $2.5bn (£1.86bn) of personal loan assets over a 16-month term, subject to satisfaction of closing conditions.
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The new deal provides additional funding capacity for the accelerated growth of Pagaya’s personal loan program, and builds on the firms’ first forward flow agreement, which was signed in 2024 and committed up to $1bn in capital over a 12-month period.
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“This agreement underscores the improving diversification and efficiency of our funding infrastructure, and bolsters our growth, earnings power, and cash flow profile,” said Evangelos Perros, chief financial officer of Pagaya.
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“We will continue to find ways to optimise both our funding mix and our balance sheet, reinforcing our statements of executing a self-funded growth plan without the need to raise equity capital.”
