Alternative investment platform YieldStreet has closed a $113 million financing round including $12.8 million of Series A equity financing co-led by Greycroft and Raine Ventures and a $100 million revolving credit facility from a New York-based family office. Additional equity investors include Saturn Ventures, Expansion Venture Capital, the family office and FJ Labs. The funds are earmarked for product development and investor acquisition.
Greycroft co-founder Alan Patricof joins YieldStreet’s advisory board while Greycroft’s Ian Sigalow, Raine Ventures’ Gordon Rubenstein and a family office representative join YieldStreet’s board.
“With the ultimate mission of ‘Prosperity for All,’ YieldStreet is making it possible for individual investors to have wealth creation opportunities similar to the top two per cent,” YieldStreet CEO Milind Mehere said. “This funding will enable us to bolster our machine learning and data analytics capability for predictive underwriting models, launch new products for non-accredited investors and further fuel our growth towards our mission. I am excited to work with this strong syndicate of investors who understand this opportunity.”
“We believe this facility will enable us to cross $1 billion in originations this year and create a strong revenue stream,” YieldStreet founder and president Michael Weisz said. “Our ability to fund deals of up to $50 million is expected to give us access to a broad range of quality offerings and managers.”
“Before YieldStreet, retail investors never had access to institutional quality alternative products,” Mr. Patricof said. “We believe that YieldStreet’s leadership team is unmatched and well positioned to deliver on its mission to transform investing. It is the future of retail investing and YieldStreet is leading the way.”