The homeownership innovators at Ribbon announced recently having secured $150 million in additional funding for fueling the company’s rapid expansion. This round is inclusive of $75 million in Series C equity financing and $75 million in additional working capital.
The funding news comes as Ribbon upsized its $500 million credit facility, on the heels of 15x growth this year. According to their statements, this investment will enable more than $10 billion in home transactions per year, while helping the home ownership platform to expand into new regions.
This round was led by Greenspring Associates, with participation from existing investors Greylock, Bain Capital Ventures, NFX, Nyca, Thomvest and Jake Sei. Ribbon also took on new strategic investors, including First American Financial, Waterfall Asset Management, TriplePoint Capital, Spencer Rascoff’s 75 & Sunny Ventures, Gary Beasley, Gregor Watson, and Guy Gal.
Ribbon’s homeownership platform allows real estate agents and lenders the ability to easily design winning cash offers, empowering their everyday homebuyers -- while providing sellers with the certainty and speed of a guaranteed, on-time closing. When we spoke with Ribbon about the latest news, Shaival Shah, Co-Founder and CEO of Ribbon told RealtyBizNews:
“Our mission is to make homeownership achievable for all. We started our journey focusing on markets where we saw homebuyers struggling to compete for, and purchase homes -- including Texas, Tennessee, Georgia, South Carolina, North Carolina and Florida. Our goal is to be in half of the U.S. by 2023. With this funding, we can scale our customer experience and transaction facilitation teams, double our financial offerings, and further improve our platform to help people achieve homeownership.”
According to Crunchbase, Ribbon has seen $905 million in funding so far from 15 different investors. About four weeks ago, the company moved into Florida to give struggling buyers a leg up against cash offers in that red-hot market. In Florida, the number of deals carried out without mortgages has skyrocketed since the bubble began to inflate. With Ribbon on the scene, buyers can leverage the company’s buying power to secure homes they might not otherwise be able to buy.
100-plus brokerage and lender partners have created their own Ribbon-powered cash experiences, in growing a network of 20,000 agents and loan officers to create $600 million in home offers a month on Ribbon. Amplified Word-of-mouth has powered overwhelming demand so far this year, according to the executives at Ribbon. The company boasts of $1.5 billion in Buying Power to qualified home buyers in the last quarter alone.