Orrick has advised leading online consumer lending marketplace, Prosper Marketplace, in a deal with a consortium of institutional investors to purchase up to $5 billion of loans through the Prosper platform over the next 24 months. The investors in the consortium are affiliates of New Residential Investment Corp., Jefferies Group and Third Point, and an entity of which Soros Fund Management serves as principal investment manager. The consortium will also earn an equity stake in the company based on the amount of loans purchased. Warehouse financing of up to $1 billion will be provided by a syndicate of lenders including Credit Suisse, Deutsche Bank, Goldman Sachs and Morgan Stanley.
Orrick acts as Prosper’s outside corporate counsel and advises on an array of matters for the company. The Orrick team advising on this transaction was led by partner Jeannie Shin and included assistance from senior counsel Dora Mao, partners Thomas Mitchell, Eric Wall and Jason Flaherty, and associates Hari Raman, Julia Ledbetter and Stephanie Richards.