Kabbage acquires Radius Intelligence to expand its data library
Fintech AI lending start-up Kabbage has acquired the small and medium-sized businesses (SMB) data platform Radius Intelligence to expand its data library and branch into SMB financial services.
The SoftBank-backed entity lends up to $250,000 to SMBs and uses AI to decide how big or small the loan should be.
Terms of the deal were not disclosed but it was revealed that Radius’ team of 20 and its CEO Joel Carusone are all part of the acquisition.
“Data has always been our competitive advantage, and Radius strengthens it by adding millions of new and verified small business insights to our platform,” says Kabbage’s CEO, Rob Frohwein.
He adds: “These new technology and data-analysis capabilities further differentiate us from other SMB-focused fintech companies as we dramatically expand our product set and service platform to address the unique cash flow needs of small businesses.”
Radius customers include Square, American Express, Yahoo, LendingTree, MetLife and FirstData, giving Kabbage an edge on payments and merchant acquirer services through the data these customers will now provide.
The now-acquired data platform was backed by $120 million in investments from Founders Fund, David Sacks, Salesforce Ventures, AME Cloud Ventures and the actor Jared Leto.