“The new funds will be used to directly support students, automate and scale our operations, and grow our team,” said the chief executive, Manu Smadja.
“We look forward to supporting even more qualified students around the world as they study in the United States and Canada.”
He added that the company is “delighted to work with experienced investors who share our vision of empowering the brightest students around the world.”
Tilden Park Capital Management also contributed to $30 million funding that MPOWER raised earlier in 2021, with ETS Strategic Capital on behalf of rating organization ETS.
Other investors in this round include King Street Capital Management, Drakes Landing Associates and Pennington Alternative Income Management.
Founded in 2014, MPOWER has announced an expansion to Canada in 2018. Its loans are approved instantly using a proprietary algorithm to analyze credit data and future earning potential, then issued at “competitive” interest rates without the need for a co-signer or collateral.
MPOWER India Office Managing Director Ashwini Kumar has pointed this out, which creates the attraction of the company.
“When I did my MBA in the US, financing options like MPOWER, which don’t require collateral or a co-signer, didn’t exist,” Kumar said.
“So the financial burden didn’t just fall on me, but also on my parents. MPOWER allows future generations of students access to the best universities in the world without this financial pressure, allowing them to focus on their studies and careers.
“MPOWER Funding because it leverages a truly differentiated business model”
MPOWER also provides students with academic, financial and career counseling, which it believes positions students for success both in school and after graduation.
“We are thrilled to partner with MPOWER Funding as it operates a truly differentiated business model where it not only lends to students but also provides career guidance and supports students throughout their journey,” added Chris Gamaitoni, Director CEO of Tilden Park Capital Management.
“The team’s mission and its commitment to its students are inspiring. We are delighted to support MPOWER Funding as it continues to expand its global reach and support even more students. We look forward to building on the company’s successes together.