LendingClub Corp. is planning its first sales of bonds backed by its unsecured loans, as the largest U.S. online lender looks for new funding sources in a challenging market. The San Francisco firm has been working with Goldman Sachs Group Inc. and Jefferies Group on the offerings, which are slated to be discussed with potential investors as early as this week, people familiar with the matter said. It would be an important test of investor appetite for the kinds of consumer loans that investors have grown more discerning...
Goldman Sachs and Jefferies Group, the largest marketplace lender in the US, is planning its first sale of bonds backed by its unsecured loans, according to the Wall Street Journal, seeking new funding sources in today’s challenging market. Working with Lending Club on the offerings, LendingClub is said to be planning to discuss updates with potential investors this week. Inc.com reports that at least one analyst is questioning whether this is a wise move for LendingClub, given the negative press that many online lenders have received for “charging high rates and lending to unworthy borrowers.”