Nomura Strategic Ventures makes an investment in Percent
NEW YORK--(BUSINESS WIRE)--Jan 12, 2023--
Percent, the revolutionary platform that has created the modern credit marketplace, today announced that Nomura Strategic Ventures, LLC (NSV), has provided financing to support the company’s innovation and growth through its venture debt fund, Nomura Strategic Ventures Fund 1. Nomura will also explore using the platform for their own deals.
“Our strategic initiatives will help unlock the potential of the platform that we have built thus far and help realize our long term vision to modernize private credit markets. Prior to Percent, transaction parties relied on antiquated systems and disjointed processes to manage the lifecycle of a private credit deal,” said Nelson Chu, founder and CEO of Percent. “As we further expand into the venture debt asset class, we are thrilled to be working with the Nomura team as both an investor in Percent and as a potential user of our cutting edge platform.”
Venture debt, an asset class within private credit, continues to grow in popularity and demand, especially in today’s economic climate. According to PitchBook Data, venture debt in the US totaled $17.1 billion for the first half of 2022, up almost 10% from previous years. Preqin forecasts that the broader private credit market will continue to grow, with AUM more than doubling to $2.69 trillion by 2026, putting it on track to become the second-largest private capital asset class.
Percent is meeting this demand, and has modernized the industry by bringing public market efficiencies to private debt markets through its technology. By powering the sourcing, structuring, syndication, surveillance, and servicing of private credit transactions from beginning to end, the company allows participants to work more efficiently and transparently.
To date, Percent has closed over 390 deals and powered over $1 billion in investments on its platform since the company launched its first deal in 2019. Meanwhile, the historical average APY for investments on Percent’s platform currently sits at 12.48%, while its current average APY is at 14.91%, presenting an extremely attractive opportunity for investors against the current market backdrop.
“We invest capital and also support the business-development objectives of startups,” said Neeraj Hora, CEO of NSV. “We look forward to collaborating with Percent to explore primary and secondary distribution.”
Percent has created the modern credit marketplace, empowering investors, borrowers, and underwriters with innovative technology to increase the speed and velocity of transactions at a fraction of the cost. The company’s core infrastructure delivers public market efficiencies to the analog private credit market by powering the sourcing, structuring, syndication, surveillance and servicing of private credit transactions from beginning to end. Founded in 2018, Percent’s platform is becoming the market standard for asset-backed and corporate lending, powering over $1 billion in transaction volume in a multi-trillion-dollar private credit industry. For additional information, please visit www.percent.com and follow the company on Facebook, Instagram, LinkedIn and Twitter.
Nomura is a global financial services group with an integrated network spanning over 30 countries. By connecting markets East & West, Nomura services the needs of individuals, institutions, corporates and governments through its three business divisions: Retail, Wholesale (Global Markets and Investment Banking) and Investment Management. Founded in 1925, the firm is built on a tradition of disciplined entrepreneurship, serving clients with creative solutions and considered thought leadership. For further information about Nomura, visit www.nomura.com
NSV is a subsidiary of Nomura Holding America Inc. and manages Nomura Strategic Ventures Fund 1 (NSV Fund 1) as well as the investment activities of the Nomura Group’s Financial Innovation office in the United States.
View source version on businesswire.com:https://www.businesswire.com/news/home/20230112005172/en/
Caliber Corporate Advisers
KEYWORD: NEW YORK UNITED STATES NORTH AMERICA
INDUSTRY KEYWORD: PROFESSIONAL SERVICES DATA MANAGEMENT TECHNOLOGY OTHER TECHNOLOGY FINANCE ASSET MANAGEMENT
Copyright Business Wire 2023.
PUB: 01/12/2023 09:00 AM/DISC: 01/12/2023 09:02 AM