African students who desire to study abroad but are cash strapped will now have the opportunity to do so through the MPOWER Financing scheme which recently raised $100 million in equity to support such students. MPOWER Financing the leading provider of education loans to high-promise students around the world, today announced that it has raised an equity investment of US$100 million. The funding underscores investors’ confidence in MPOWER’s position as the leading lender for students aspiring to study abroad.
MPOWER Financing was founded in 2014 by Emmanuel (Manu) Smadja to help democratize education by reducing financial barriers for high-promise students from around the world. MPOWER’s loans are approved instantly and are granted at competitive interest rates without requiring a cosigner or collateral. MPOWER additionally provides students with academic, financial and career guidance to position them for success both in school and after graduation.
“We’re delighted to be working with experienced investors who share our vision of empowering the brightest students from around the world,” said Smadja, Chief Executive Officer of MPOWER Financing. “The new funds will be used to directly support students, automate and scale our operations, and to grow our team. We look forward to supporting an even greater number of qualified students around the globe as they study in the U.S. and Canada.”
“When I did my MBA in the U.S., financing options like MPOWER, which don’t require collateral or a cosigner, didn’t exist,” said Ashwini Kumar, General Manager of MPOWER’s India Office. “So, the financial burden fell on not just me, but by my parents as well. MPOWER makes it possible for future generations of students to access the world’s top universities without this financial pressure, allowing them focus on their academics and career.”
The new funding is in addition to the US$30 million MPOWER raised earlier this year from Tilden Park Capital Management, which also participated in the current round, and ETS Strategic Capital on behalf of ETS, the world’s largest non-profit educational assessment, research and measurement organization. Other investors in the current round include King Street Capital Management, Drakes Landing Associates, and Pennington Alternative Income Management.
“We are excited to partner with MPOWER Financing as it operates a truly differentiated business model where it not only lends to students, but also offers career guidance and supports students throughout their journey,” said Chris Gamaitoni, Managing Director of Tilden Park Capital Management. “The team’s mission and commitment to their students are inspiring. We are thrilled to support MPOWER Financing as it continues to expand its global reach and support even more students. We look forward to building on the company’s successes together.”