Yoco secures $100M credit facility from Victory Park Capital

Yoco has secured a $100 million credit facility from Victory Park Capital Advisors to fund Yoco Capital, its merchant cash advance product. It is the South African payments company's first direct debt facility; pricing and maturity were not disclosed.

Until now Yoco routed merchant financing through third-party lenders, about R6.5 billion in total. Funding the advances itself gives it direct control over pricing and credit risk. Advances run from R2,000 to R1.5 million and are repaid through automatic deductions from daily card takings, with no collateral required.

Victory Park is a Chicago-based private credit manager with about $3.6 billion under management. Yoco is backed by TPG.

The read: lending against its own payments data gives Yoco the underwriting signal, and the facility now gives it the balance sheet.