On a combined basis, the company now has access to more than $3 billion of fund capital to support strong investor demand
Pagaya Technologies LTD., a global technology company delivering AI-driven product solutions for the financial ecosystem, today announced the completion of its acquisition of Theorem Technology, Inc. (“Theorem”), a machine-learning underwriting technology company that has powered billions of dollars of credit across its network since its founding in 2014.
With a combined credit fund platform exceeding $3 billion in AUM, the transaction is expected to further strengthen Pagaya’s market-leading capabilities, diversify its funding sources and drive capital efficiency. Fund investors are expected to gain access to credit assets generated by Pagaya’s network of 31 of the top lenders in the U.S., creating more growth opportunities across the lending ecosystem. The acquisition is expected to be accretive in 2025.
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“We are thrilled to welcome Theorem’s incredible team to our company,” said Pagaya CEO Gal Krubiner. “Our combined capabilities will enable us to better meet unprecedented institutional demand for consumer credit, while also diversifying our funding sources and improving our capital efficiency. Together we are well positioned to drive accelerated profitable growth and deliver on our mission.”
“We are excited to join the Pagaya team to create more opportunities for our limited partners, employees, and stockholders,” said Theorem Founder and Chief Investment Officer Hugh Edmundson. “The combination of our technology platforms and funding capabilities will allow us to deliver a truly unique solution for the U.S. lending ecosystem at increased scale.”
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