Fair gets $100M in debt and equity from Ally in expanded vehicle financing pact
Fair, a California-based vehicle subscription app and partner of Uber, announced an agreement with Ally Financial Services Inc., on a $100 million debt and equity investment.
The debt facility will be used to help Fair expand its business to help entry level car customers the ability to afford a car, when they may not otherwise qualify for a traditional loan or lease.
"The deal support’s Fair’s core business model," Craig Nehamen, chief strategy officer at the company, told Mobile Payments Today via email. "This credit facility enables Fair to offer our subscription to more customers who otherwise may have struggled to receive financing for their car or paid high rates for a loan at risk of default."
The agreement marks an expanded relationship for Fair and Ally. In 2018, the companies entered a strategic alliance where Fair used Ally’s Smart Auction and Clearlane tools to manage vehicle inventory and provide customers access to alternative financing.
Cover image: Courtesy of Fair