Runway Growth Capital Announces $40 Million Investment in Autobooks to Accelerate Strategic Growth, Including Its Acquisition of Allied Payment Network
Rhea-AI Summary
Runway Growth Capital (RWAY) has provided a $40 million senior secured term loan to Autobooks, a fintech company specializing in integrated payment solutions for small and medium-sized businesses. The funding will support Autobooks' expansion and its recent acquisition of Allied Payment Network.
Autobooks, founded in 2015 and based in Detroit, offers embedded financial management solutions including invoicing, payment acceptance, and bookkeeping capabilities through banks and credit unions. The company has shown significant growth, ranking #258 and #249 on Inc. 5000's fastest-growing companies list in 2022 and 2023, respectively.
The acquisition of Allied Payment Network enhances Autobooks' platform by adding real-time bill pay and digital disbursement solutions, creating a comprehensive small business banking platform.
Positive
- Strategic acquisition of Allied Payment Network expands service offerings and market reach
- Secured $40 million in growth capital with minimal equity dilution
- Strong growth trajectory evidenced by consecutive Inc. 5000 rankings
- Expanding platform capabilities through integration of receivables, payables, and accounting services
Negative
- Increased debt burden from the $40 million term loan
- Integration risks associated with Allied Payment Network acquisition
News Market Reaction – RWAY
In the trading session that priced this news, RWAY gained 1.34%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
The funding will enable Autobooks to expand its market presence, enhance its integrated financial technology solutions, and support its strategic growth initiatives.
Founded in 2015 and headquartered in
Under the leadership of co-founder and CEO Steve Robert, Autobooks has achieved substantial milestones, including consecutive recognition on Inc. 5000's list of fastest-growing private companies in America, ranking No. 258 in 2022 and No. 249 in 2023. Autobooks recently relocated its headquarters to 1505 Woodward Avenue in downtown
"Autobooks' robust growth and approach to empowering small businesses via direct integrations with leading financial institutions is truly innovative and aligns well with Runway's investment philosophy," said Jeff Goldrich, Managing Director of Technology at Runway Growth Capital. "Our financing supports their ongoing platform growth and key strategic initiatives such as the Allied Payment Network acquisition, which we believe positions them as a critical partner for virtually any institution within the banking ecosystem that intends to serve the SMB market."
"Financial institutions want to deliver more value to their business customers — and they want to do it within the banking experience. By acquiring Allied Payments, we're bringing together receivables, payables, and accounting in a way that's never been done before," said Steve Robert, co-founder and CEO of Autobooks. "This is more than a product expansion — it's the next step in our mission to help financial institutions compete by offering small businesses the tools they need to succeed. We're grateful to have the support of Runway Growth Capital as we execute on this vision and continue to build a platform that meets the evolving needs of small businesses and their banking partners."
Autobooks' acquisition of Allied Payment Network strengthens its embedded finance offerings by adding real-time bill pay and digital disbursement solutions, reinforcing its position as a comprehensive small business banking platform. Runway's financing reflects its ongoing commitment to supporting promising technology companies with tailored capital solutions, enabling them to scale effectively with minimal dilution.
About Runway Growth Capital LLC
Runway Growth Capital LLC is an investment adviser to investment funds, including Runway Growth Finance Corp. (Nasdaq: RWAY), a business development company, and other private funds, which are lenders of growth capital to companies seeking an alternative to raising equity. Led by industry veteran David Spreng, these funds provide senior term loans of a target of
About Autobooks
Autobooks is a leading provider of invoicing, digital payment acceptance, and accounting solutions for small businesses — fully integrated into online and mobile banking. Financial institutions choose Autobooks to deliver a modern, all-in-one experience for business customers, helping them get paid, pay others, and manage their accounting — all within digital banking. Based in
Forward-Looking Statements
Statements included herein may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition, or results and involve a number of risks and uncertainties. Actual results may differ materially from those in forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission made by Runway and Runway's affiliated funds. Neither Runway nor Runway's affiliated funds undertake a duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.
View original content to download multimedia:https://www.prnewswire.com/news-releases/runway-growth-capital-announces-40-million-investment-in-autobooks-to-accelerate-strategic-growth-including-its-acquisition-of-allied-payment-network-302448800.html
SOURCE Runway Growth Capital LLC