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Athena Home Loans – Raised AUD 70m in a Series C funding round led by Square Peg Capital

Athena Home Loans is a digital home loan lender that operates in Australia. It was founded in 2017 with the mission of helping homeowners pay off their mortgages faster and with less stress. Athena Home Loans offers refinancing options to existing homeowners, with a focus on providing competitive interest rates, flexible loan terms, and personalized customer service.

Athena Home Loans distinguishes itself in the market by leveraging technology to simplify the mortgage process and provide a seamless, user-friendly experience for borrowers. The company utilizes advanced algorithms and data analytics to assess the risk profile of borrowers and offer personalized loan solutions. Athena Home Loans also emphasizes transparency and fair lending practices, striving to provide borrowers with clear and easy-to-understand information about their loan terms and options.

One of the key values of Athena Home Loans is its commitment to helping borrowers pay off their mortgages faster. The company encourages borrowers to make additional repayments and provides tools and resources to help them manage their loans and reduce their interest costs. Athena Home Loans also offers a unique “Reward Me” program, where borrowers can earn cashback rewards for making additional repayments on their loans.

Overall, Athena Home Loans aims to provide a modern, customer-centric approach to home lending, leveraging technology and innovation to make the mortgage process more transparent, efficient, and empowering for borrowers.

Competitors

As a digital home loan lender, Athena Home Loans operates in a competitive landscape. Some of its competitors in the Australian mortgage market include:

Traditional Banks: Traditional banks such as Commonwealth Bank of Australia, Westpac Banking Corporation, Australia and New Zealand Banking Group Limited (ANZ), and National Australia Bank Limited (NAB) are among the main competitors of Athena Home Loans. These banks have well-established brand recognition, wide customer base, and offer a range of mortgage products and services.

Non-Bank Lenders: Non-bank lenders such as Pepper Money, Liberty Financial, and Resimac are also competitors of Athena Home Loans. These lenders typically specialize in offering home loans to borrowers who may not meet the strict criteria of traditional banks, providing alternative lending options and flexibility in loan terms.

Online Mortgage Lenders: Online mortgage lenders like Tic:Toc, loans.com.au, and Homestar Finance are direct competitors of Athena Home Loans in the digital home loan space. These lenders operate entirely online, leveraging technology to provide fast, streamlined, and convenient mortgage application processes, similar to Athena Home Loans’ digital approach.

FinTech Lenders: Emerging FinTech lenders such as HashChing, Lendi, and uno Home Loans are also competitors of Athena Home Loans. These FinTech companies utilize innovative technologies and online platforms to provide competitive mortgage rates, personalized loan options, and digital tools to assist borrowers in managing their loans.

Credit Unions and Building Societies: Credit unions and building societies, such as CUA, Newcastle Permanent Building Society, and Heritage Bank, also compete with Athena Home Loans. These member-owned financial institutions often offer community-focused lending options, and personalized customer service to their members.

It’s worth noting that the competitive landscape of the mortgage market can change over time, and there may be other lenders or new entrants that could potentially compete with Athena Home Loans in the future. Borrowers are encouraged to research and compare different lenders to find the best mortgage solution that fits their needs and financial situation.

Funding

Athena Home Loans has raised a total of $249.2 million AUD across all funding rounds.

• Series B funding round – $26.4 million AUD was raised on November 26, 2018, with investors including Square Peg Capital, Hostplus, and one more investor.

• Series C funding round – $70.6 million AUD was raised on October 21, 2019, with investors including Salesforce Ventures, AustralianSuper, Square Peg Capital, Hostplus, AirTree, and three more investors.

• Series D funding round – $126.2 million AUD was raised on May 11, 2021, with investors including Square Peg Capital, AirTree, Salesforce Ventures, Hostplus, AustralianSuper, Morgan Stanley, Fidelity International, and one more investor.

Athena Home Loans, an Australian fintech company that offers online mortgage lending services, has successfully raised a total of $200 million across five funding rounds, including Series A, Series B, Series C, and Series D rounds. The most recent funding round was a Series D round on May 11, 2021, where Athena Home Loans raised $90 million. The company has secured investments from reputable investors such as Square Peg Capital, AirTree, Salesforce Ventures, Hostplus, AustralianSuper, Morgan Stanley, and Fidelity International, among others. 

Founders

Athena Home Loans was co-founded by Nathan Walsh and Michael Starkey. Nathan Walsh is the CEO of Athena Home Loans and has a background in finance and technology. Michael Starkey is the Chief Operating Officer (COO) of Athena Home Loans and brings extensive experience in financial services and technology to the company.

Nathan Walsh, as the CEO of Athena Home Loans, has been instrumental in leading the company and driving its mission to revolutionize the home loan industry in Australia. Michael Starkey, as the COO, has played a key role in overseeing the operations and strategic initiatives of the company. 

Together, Nathan Walsh and Michael Starkey, along with their team, have developed Athena Home Loans as a fintech company that offers innovative and customer-centric home loan solutions.

Investors

Athena Home Loans has raised a total of $249.2 million AUD in funding from various venture capital firms.

• Square Peg Venture Capital Ltd. : A venture capital firm based in Sydney, Australia that invests in technology-focused companies.

• AirTree Ventures: A venture capital firm based in Sydney, Australia that invests in technology startups, including those in the financial services sector.

• Hostplus: An Australian superannuation fund based in Melbourne, Australia that has reportedly invested in Athena Home Loans.

• AustralianSuper: An Australian superannuation fund based in Melbourne, Australia that has reportedly invested in Athena Home Loans.

• NAB Ventures: The venture capital arm of National Australia Bank (NAB), one of the major banks in Australia, based in Melbourne, Australia, which has reportedly invested in Athena Home Loans.

• Salesforce Ventures: The venture capital arm of Salesforce, a leading cloud-based customer relationship management (CRM) platform, based in San Francisco, California, USA, which has reportedly invested in Athena Home Loans.

These investors from Sydney, Melbourne, and San Francisco have shown support for Athena Home Loans, recognizing the potential of their technology-driven approach to the home loan industry in Australia.

These investors enabled Athena Home Loans to expand its operations, enhance its technology-driven mortgage lending platform, and disrupt the traditional mortgage market in Australia. Athena Home Loans’ funding history reflects investor confidence in the company’s innovative approach to home lending and its potential for growth in the fintech industry.

Insights

Athena Home Loans has gained attention and investment from prominent investors in the financial and technology sectors, indicating their confidence in the company’s disruptive approach to the home loan industry in Australia. By leveraging technology and data-driven processes, Athena Home Loans aims to simplify the mortgage experience for borrowers and offer competitive rates. Their focus on customer-centric solutions, including their unique Athena Reunion Home Loan product, which rewards loyalty and encourages borrowers to pay off their loans faster, sets them apart in the market. 

Athena Home Loans’ commitment to transparency, customer empowerment, and addressing the pain points of traditional mortgage lending has garnered attention and support from both borrowers and investors alike. With their innovative approach and strong backing from investors, Athena Home Loans has the potential to bring significant positive change to the home loan landscape in Australia.