Vancouver’s Montfort Capital is deploying $100 million of funding through a new joint venture with Arena Investors, a USD $3.5 billion institutional investment manager.
Arena is a global investment firm that provides creative and flexible capital solutions for special situations.
The joint venture combines Arena’s extensive capital base and history of growth-oriented specialty finance with TIMIA’s expertise in originating and managing technology focused loan portfolios, for the purpose of providing venture debt financing to technology companies in North America.
Arena will provide up to USD $95 million in conjunction with USD $5 million from Montfort to capitalize the venture with up to a US$100 million of funding capacity.
According to TIMIA’s Monique Morden, the recent departure of Silicon Valley Bank (SVB) has created a significant opportunity for private credit lenders in the technology sector and the joint venture will be in position to fill a void left by SVB’s exit and seize quantifiable market share in the lending space.
Montfort’s mission is to create value for investors by building and managing specialty finance brands while also leveraging a tech-enabled lending platform to lower costs and improve performance.
Montfort’s brands, starting with TIMIA Capital and Pivot Financial, span multiple lending sectors and are therefore resilient in its diversification.