The funding will be deployed to further scale Blend’s loan book, following the company’s recent ‘Origination as a Service’ initiative, which includes full security, transparency, and an enhanced due diligence process carried out on all loans.
Institutional investors and family offices now make up more than 90% of the lender's funding base.
The six new family offices join the platform's list of investors, including Maurice Levy, chairman at Publicis Groupe; Cyrus Ardalan, chairman at OakNorth Bank; Nico Paraskevas, former executive at Glencore; and Jean-Philippe Blochet, co-founder of Brevan Howard.
Global law firm Ashurst advised Blend on the transaction.
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Yann Murciano, CEO at Blend (pictured above), said: “Obtaining a record £120m committed funding line from such a respected group of family offices is a landmark moment for us and illustrates how much progress we have made as a business in a relatively short time and how our funding is now much more focused on institutional investors.
“This fresh funding line will allow us to not only boost our origination capability significantly, but also widen the breadth of services that we offer property brokers to assist them in sourcing attractive lending opportunities.
“Overall, it allows us to offer greater support to help mid-sized residential property developers across the UK boost their building capacity, which will, in turn, make a greater contribution to solving the country’s housing crisis.”
Jonathan Cohen, partner at Ashurst, commented: "We really enjoyed supporting the Blend team in securing this committed capital and we look forward to working alongside them in the next phase of its exciting growth."
In February, Blend Network obtained a £10m funding boost in its latest investment round.