I got an e-mail from Lending Club earlier, with an update on their SEC filing. Here’s the e-mail:
We filed with the SEC earlier today. You can read the registration statement on the SEC Website at www.sec.gov. This is an important step in the process that we announced on April 7. Until the registration process is complete, we continue to be in a quiet period and are not at liberty to disclose more details on the process and timing. Please find below the text of our press release.
Kind Regards,
Patrick Gannon
Lending Club Files Registration Statement with the SEC
SUNNYVALE, CA – June 20, 2008 – Lending Club announced today that it has filed a registration statement with the Securities and Exchange Commission under the Securities Act of 1933 relating to its social lending platform.
The registration statement seeks to register the offer and sale of up to $600,000,000 in Member Payment Dependent Notes to be issued by Lending Club in a continuous offering following the effective date of the registration statement. The Notes will be issued in series with each series of Notes corresponding to a single consumer loan to a borrower member. Lender members will direct Lending Club to apply the proceeds Lending Club receives from the sale of each series of Notes to fund a particular consumer loan selected by the lender member originated through the Lending Club platform.
A series of Notes will be issued only if and when the corresponding member loan closes and is funded. Lending Club will have an obligation to make payments of principal and interest on the Notes only to the extent that Lending Club receives payments on the corresponding member loan. The terms of the Notes, including interest rate and initial maturity, will correspond to the terms of the corresponding member loans but will reflect a four business day lag on payment dates and maturity to allow the platform to confirm payments received on the corresponding member loan.
Lending Club will offer the Notes only through its website directly to lender members.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission but it has not yet become effective. Copies of the Lending Club registration statement can be accessed on the SEC website: http://www.sec.gov/. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities law of any such state.
I found the SEC S-1 Filing: http://www.sec.gov/Archives/edgar/data/1409970/000089161808000318/f41480orsv1.htm
It’s got some interesting stuff in there for sure. Still combing through it, but so far a few highlights…
Lending Club S-1 Highlights
- 5.6 million in cash (see the balance sheet towards the end of the filing) – definitely not dead there.
- Registering $600 million in member notes (Prosper’s dead S-1 was for $500 million)
- Talk of working on resale (secondary) market as already in progress.
The SEC now has 30 days to respond to the filing. Assuming no hiccups there, Lending Club should be back taking lenders soon. Which would make me happy since I was making a decent little chunk of change each month from their referral program.
