Neo Financial closes a $185M syndicated warehouse facility led by ATB Financial for its credit card receivables

Neo Financial has closed a $185 million syndicated warehouse facility, with ATB Financial acting as administrative agent, lead arranger and sole bookrunner. The facility includes an accordion that can lift it to $250 million, and it expands committed funding capacity for Neo's credit card receivables. The release does not state the currency.

Vancouver City Savings Credit Union (Vancity), Beem Credit Union, Alterna Savings and Credit Union and Innovation Federal Credit Union joined the syndicate. Neo says it wants a card platform in which other institutions can take part and lasting funding relationships with credit unions. Detailed terms were not disclosed.

Neo was founded in 2019 and is based in Calgary, Winnipeg and Toronto. It has raised more than $650 million in funding and serves over one million customers with credit cards, chequing, savings and mortgages. Co-founder Jeff Adamson said the funding supports card receivables as Neo grows.