Deals
SoFi Pushes Back IPO Plans Amid Financial Tech Sector Struggles
- Online lender previously said would seek IPO around mid-2016
- Problems in sector exacerbated by LendingClub decline
Mike Cagney
Photographer: Patrick T. Fallon/BloombergThis article is for subscribers only.
Social Finance Inc. is taking it slow after a rough year for financial technology companies.
The online lending company known as SoFi, which specializes in refinancing student loans, is pushing back plans for an initial public offering in order to focus on developing other business lines, said Chief Executive Officer Mike Cagney. Meanwhile, the company hasn’t yet closed a $500 million funding round, an effort that has SoFi courting international investors to purchase loans and potentially take an equity stake at the same time.