J.C. Flowers & Co. agreed to make a majority investment in iLendingDIRECT, an auto refinance marketing company. Terms of the deal were not disclosed. The transaction is expected to close in the first half. iLending’s CEO Nancy Fitzgerald and president and COO Tom Holgate will remain investors in the business. Fitzgerald will be on the board and work as a strategic consultant to the company, focused on sourcing strategic partnerships. Holgate will take over as CEO of iLending.
J.C. Flowers & Co. LLC (“J.C. Flowers”), a leading private investment firm dedicated to investing globally in the financial services industry, announced today that it has signed a definitive agreement to make a majority investment in iLendingDIRECT (“iLending” or “the Company’) a leading auto refinance marketing company. Terms of the transaction, which is expected to close in the first half of 2021, were not disclosed.
iLending’s CEO Nancy Fitzgerald and President and COO Tom Holgate will remain investors in the Company. After the closing of the transaction, Ms. Fitzgerald will sit on the board of directors and serve as a strategic consultant to the Company focused on sourcing strategic partnerships for the business, and Mr. Holgate will take over as acting CEO of iLending.
Founded in 2006 and based in Englewood, Colorado, iLending is a national leader in automotive refinancing. Through strategic partnerships with credit unions, banks, and other financial institutions nationwide, the Company offers consumers lower interest rates on auto loans and other creative financing solutions. iLending saves consumers thousands of dollars in interest and payments and provides its lending partners with high quality loans that meet their footprint and credit criteria. By utilizing its proprietary software platform, iLending refinances auto loans and offers vehicle service contracts, GAP waivers and other vehicle protection products directly to customers. iLending is a Better Business Bureau® A+ Rated Accredited Business and has been honored as one of the Denver Business Journal’s “Best Places to Work” annually since 2016.
“J.C. Flowers is widely viewed as a global leader for investment in financial services companies. Their interest in iLending is a testament to our team and what they have been able to accomplish for our customers,” said Ms. Fitzgerald. “J.C. Flowers’ commitment will further strengthen our operations and product lines, making us the premier choice in automotive refinancing.”
“Many of our customers have been negatively impacted by COVID-19. We are proud that we have been able to help them save some money in this time of financial stress,” said Mr. Holgate. “J.C. Flowers recognized the value iLending provides to its customers, which includes both lending partners and consumers. We look forward to working with their team now and long after the pandemic subsides.”
“J.C. Flowers invests in niche financial services companies with strong potential. We were attracted to iLending by its strong growth, solid operational foundation, and its commitment and agility in meeting the needs of both consumers and lending partners under Nancy and Tom’s leadership,” said Tom Harding, Managing Director of J.C. Flowers. “We expect demand for auto refinancing to remain strong as savvy consumers continue to look for ways to save money. We are excited to work with Nancy, Tom and the iLending team to grow the business to take advantage of the expected strong demand.”
Weil, Gotshal & Manges LLP served as legal counsel to J.C. Flowers. Locke Lord LLP served as legal counsel and Roth Capital acted as financial advisor to iLending.
About J.C. Flowers & Co.
J.C. Flowers is a leading private investment firm dedicated to investing globally in the financial services industry. Founded in 1998, the firm has invested more than $16 billion of capital, including co-investment, in 58 portfolio companies in 18 countries across a range of industry subsectors including banking, insurance and reinsurance, securities firms, specialty finance, and services and asset management. With approximately $6 billion of assets under management, J.C. Flowers has offices in New York and London. For more information, please visit www.jcfco.com.