Credit risk tech firm, LendingMetrics, has secured a major investment from private equity investor, LDC.

The investment from the Lloyds Banking Group business will help LendingMetrics grow its presence in the decisioning software and data market.

LendingMetrics’ clients include building societies, online lenders, mortgage companies, credit card providers and commercial lenders, who use the firm’s software and data solutions to make detailed automated and risk-based lending decisions.

LDC is backing LendingMetrics’ management team, led by co-founders CEO Neil Williams (pictured, right) and commercial director, David Wylie (pictured, left).

GROWTH PLANS

The investment and strategic support will help LendingMetrics to accelerate new product development within its core financial services sector and expand its network of partners in its consultancy and data services division.

It will also enable LendingMetrics to explore complementary acquisitions and diversify its presence in new vertical industries with similar credit risk challenges, such as the telecoms, utilities and insurance markets.

LDC’S RECENT SUCCESSES

LDC has a successful track record in the technology sector. In the last decade, the firm has invested £715m into fast growing technology businesses, backing management teams to achieve their ambitions. LDC’s current technology portfolio includes a diverse range of companies such as the cloud-based insurance technology platform Uinsure; database, cloud and applications managed service provider DSP; and leading artificial intelligence-based talent analytics platform Horsefly.

“LDC’s track record in backing technology businesses speaks for itself”

Neil Williams, CEO of LendingMetrics, said: “We’re extremely proud of what we’ve achieved in the last 14 years, the fantastic team we have built and of the great partnership we have fostered with many clients and partners who have been part of our journey so far.

“With the support of LDC we can invest for further growth, especially in our R&D team. Having firmly established products such as ADP to be truly industry leading and launched innovative and peerless products such as DeeJoop, our aim is to bring an expanding suite and capability of risk solutions and data services to more businesses and sectors, while preserving the agility, independence and focus on client value and service that have made us successful to date.

“LDC’s track record in backing technology businesses speaks for itself, but it was the LDC team’s approach to the investment that made the difference. They’re already providing the kind of strategic input we expected from an experienced investment partner, but they back us as a team to lead the business and pursue our own vision and ambition.”

Oliver Schofield, investment director at LDC, added: “Neil, David and the wider LendingMetrics team have built a highly sophisticated and disruptive technology stack that is at the cutting edge of credit risk technology and has made the business a critical, trusted partner to their clients.

“We’re excited to be backing the team and helping them to scale in what is a fast-growing and rapidly evolving market.”