Private equity firm LDC has acquired a minority stake in Evolution Funding, a car finance broker. The transaction values the business at £110 million.
Evolution’s bespoke Evolve technology platform provides customers with vehicle finance options from a panel of 34 funders, either at the point of sale in car dealerships or online while they are researching or purchasing a used vehicle.
The technology uses real-time credit and valuations data to enable dealers and customers to secure vehicle finance quickly and at competitive rates.
The company has also developed a direct-to-consumer product, MyCarCredit, which provides customers with direct access to its brokered funding platform.
Evolution brokered loan advances of over £430 million in 2018 and employs over 200 people.
Lee Streets, CEO of Evolution, said: “Bringing a partner on board like LDC gives us not only the capital to accelerate our growth, but also the boardroom expertise to help us unlock the potential of our business.”
Lawrence Dean, Investment Director at LDC, added: “Evolution Funding is a classic example of an entrepreneurial business that is disrupting a market with innovative technology to the benefit of its customers.”