Raising Roostify: Santander InnoVentures Leads Expansion Round
The fintech venture capital fund of Santander Group, Santander InnoVentures, is putting its money where its mouth is when it comes to its support of mortgagetech. The VC fund is leading an expansion round for digital mortgage lending platform Roostify, following up on its initial investment in the company back in February 2018.
The amount of the round was not disclosed. Before this week’s announcement, Roostify’s total funding was estimated by Crunchbase at $33 million. The capital raised in this latest round will be used to support the company’s expansion into overseas markets in the U.K. and Europe, as well as a continued build-out of Roostify’s cloud-based lending platform. This includes enhanced decision-making and fulfillment capabilities, new data and machine learning tools, and more consumer lending solutions.
This latest funding for Roostify comes as the company announces monthly loan volume that has doubled over the past twelve months to nearly $20 million a month. The company notes that its bank customers have reported reductions in mortgage lending process time by an average of 20%.
“Digital transformation is a key strategic priority for banks worldwide, and industry-leading lenders are focused on delivering the best customer experience while managing costs,” Roostify CEO and co-founder Rajesh Bhat said. “The Roostify lending platform enables lenders to realize up to 300% growth in loan applications and a significant reduction (in) origination costs. The future is frictionless, everyone benefits when you optimize the lending process.”
Roostify demonstrated its lending platform at FinovateSpring 2018. The San Francisco, California-based company, founded in 2012, has forged a number of partnerships this year, teaming up with Glacier Bancorp in January, partnering with MORTECH and Docutech over the spring, and collaborating with HSBC Bank this summer. Earlier this month, Roostify’s Bhat was recognized by Goldman Sachs as one of its Top 100 Most Intriguing Entrepreneurs at the investment bank’s Builders + Innovators Summit.
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