Lendbuzz, a Boston-based auto finance fintech, has officially filed to go public, setting its sights on a potential $1.5 billion valuation, according to a source familiar with the deal. The final figure could shift as the company and its underwriters test the waters with investors in the coming weeks.
Founded a decade ago, Lendbuzz has carved out a niche by using alternative data and machine learning to evaluate the creditworthiness of borrowers who lack extensive financial histories. Its lending model is fueled by asset-backed securitizations, warehouse credit lines from major banks, and portfolio sales to institutional investors—particularly insurers hungry for yield.
The IPO comes as fintechs continue to test public markets. Klarna and Chime both debuted within the past three months, though their post-IPO trajectories have diverged: Klarna’s shares are trading roughly 7% above its offering price, while Chime has slipped below its debut valuation.
Goldman Sachs and JPMorgan Chase are leading Lendbuzz’s offering. Representatives for Lendbuzz and its banks have declined to comment.
If successful, the IPO could mark an important milestone not only for Lendbuzz but also for fintechs betting that AI-powered underwriting and alternative credit data can give them a durable edge in consumer finance.
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