Live Oak Ventures Participates in Financing of Sunbound, Inc.

Rhea-AI Summary

Live Oak Ventures, the investment arm of Live Oak Bancshares, has announced an investment in Sunbound Inc., a provider of automated financial operations solutions for the senior housing industry. Sunbound's platform optimizes financial operations through digital payments, claims management, and data insights to improve cash flow for senior housing communities.

The platform aims to help senior housing facilities focus on residential care while enhancing their financial profile and operational efficiency. The Sunbound platform provides comprehensive revenue solutions, optimizing insurance claims and private pay solutions.

Positive

• Strategic investment in fintech solution for senior housing sector
• Expansion into growing senior housing market vertical
• Potential revenue synergies with existing senior housing business

Negative

• None.

Insights

Financial Analyst

The investment by Live Oak Ventures in Sunbound represents a strategic move into the growing intersection of fintech and senior housing services, though the investment amount remains undisclosed. Sunbound's platform addresses critical pain points in senior housing financial operations, particularly in insurance claims processing and payment management. The senior housing market faces significant operational challenges, with complex revenue cycles and increasing demand for digital solutions.

This investment aligns with Live Oak's existing expertise in the senior housing vertical and could potentially create synergies with their banking services. The focus on improving cash flow and operational efficiency through automation is particularly relevant given the current economic environment where operational margins in senior housing are under pressure. However, without disclosed financial terms or specific performance metrics, the immediate impact on Live Oak Bancshares' stock remains

WILMINGTON, N.C., Dec. 04, 2024 (GLOBE NEWSWIRE) -- Live Oak Ventures, the investment arm of Live Oak Bancshares, Inc., has announced an investment in Sunbound Inc., a provider of automated financial operations solutions for the senior housing industry.

Sunbound leverages best in class technology to optimize financial operations, so senior housing communities can concentrate on delivering exceptional residential care while improving their financial profile and operational efficiency.

“Our team understands the challenges of operating in the senior housing market. Sunbound is offering an important, next-generation financial operating system that helps businesses navigate those challenges,” said Stephanie Mann, Live Oak Bank Chief Strategy Officer. “We are excited to invest in a company that is helping to advance and simplify revenue generation for a vertical we have been serving for many years.”

The Sunbound platform is a comprehensive revenue solution that helps optimize insurance claims and private pay solutions. The platform allows for online digital payments, claims management, data insights and improved cash flow.

“The Live Oak team brings a wealth of knowledge and experience, both in financial technology and the senior living industry,” said Manny Cominsky, CEO of Sunbound. “We look forward to collaborating with their team to achieve our shared vision of solving operators’ most pressing challenges, improving their financial performance and meeting the evolving needs of their residents.”

About Live Oak Ventures
Live Oak Ventures, a wholly owned subsidiary of Live Oak Bancshares (NYSE: LOB), is a fintech-focused investor that aims to bring innovation and performance excellence to the forefront of the banking industry. By investing in companies that accelerate the delivery of open digital solutions to the market, Live Oak Ventures intends to change the landscape of financial services and small business banking.

About Sunbound
Sunbound is on a mission to enhance, streamline and ultimately transform the financial processes for both senior living operators and their families. Today, senior living operators receive over 50% of payments by check and manage their financial processes through a range of siloed financial, billing and clinical systems. The lack of consistency leads to operational inefficiencies, financial underperformance and cash flow issues. At the same time, families find the current payments experience confusing, cumbersome and stressful. Sunbound was created to solve this problem by building the first modern, user-friendly, end-to-end platform that saves operators and families time, money and effort.

Contact:
Claire Parker
Live Oak Bank, Corporate Communications
910.597.1592
claire.parker@liveoak.bank

FAQ

What is Live Oak Ventures' latest investment in senior housing technology?

Live Oak Ventures has invested in Sunbound Inc., a provider of automated financial operations solutions for the senior housing industry.

What services does Sunbound provide to senior housing facilities?

Sunbound provides a comprehensive revenue platform that includes online digital payments, insurance claims management, data insights, and cash flow optimization solutions.

How will Live Oak Bancshares (LOB) benefit from the Sunbound investment?

The investment allows Live Oak to expand its presence in the senior housing sector while leveraging its experience in financial technology and senior living industry.