Ribbon, the homeownership company, announced it has secured $150 million, inclusive of $75 million in Series C equity financing and $75 million in additional working capital. Additionally, Ribbon has also upsized its $500 million credit facility, on the heels of a 15-time growth spurt this year, the company announced in a press release.
This investment will enable more than $10 billion in home transactions annually, and fuel Ribbon’s swift expansion into new states, the company said.
The Series C was led by Greenspring Associates, with participation from existing investors Greylock, Bain Capital Ventures, NFX, Nyca, Thomvest and Jake Seid, the company stated.
Ribbon also is welcoming 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.
“We are thankful to our investor group for their confidence and support in our mission to make homeownership achievable.” Shaival Shah, co-founder and CEO of Ribbon, said in the release. “With our new capital raise, we intend to aggressively expand nationally, build more of the homeownership journey, and meet the significant consumer and partner demand.”
Ribbon’s homeownership platform allows real estate agents and lenders to easily design winning cash offers, empowering their everyday homebuyers -- while providing sellers with the certainty and speed of a guaranteed, on-time closing.
“The historically low inventory of homes and hypercompetitive housing market has opened eyes: everyday buyers lose out on homes as affordability disappears, and other solutions for agents and lenders are insufficient to meet the moment. They all deserve better.” Shah said. “Ribbon has become stronger by partnering with the ecosystem of agents and lenders - together we’ve empowered the consumer with best-in-class software and home financing solutions.”
Over 100 brokerage and lender partners have created their own Ribbon-powered cash experiences, growing to a network of 20,000 agents and loan officers creating $600 million in home offers a month on Ribbon, the company added.
Word-of-mouth adoption represented an overwhelming portion of demand this year, with Ribbon granting $1.5 billion in buying power to qualified home buyers in the last quarter alone.
“In a moment when one third of home offers are cash, consumers have a competitive entry point with Ribbon’s novel ecosystem approach,” Greenspring Associates’ Seyonne Kang said. “In the wake of Ribbon’s exponential growth, we are excited to partner as they grow their footprint in the United States, and help more people compete for - and realize - homeownership.”