NextCar Holding Company Inc. (NXCR), a fintech and insurtech vehicle subscription platform, announced on Tuesday it has signed a letter of intent to form a partnership and receive a $400 million debt facility from Westlake Financial.
NXCR reported that the $400 million debt facility from Westlake will provide it with highly flexible and efficient capital to finance subscriptions. The strategic partnership will meanwhile provide NXCR with loan and collections services through Westlake, as well as access to Westlake’s dealer network to scale indirect subscription offerings. While sharing more details about the partnership, Scott Painter, Founder and CEO of NXCR, stated:
“Subscriptions represent an entirely new way to get flexible access to mobility. Having strategic partners like Westlake is one of the building blocks for scaling subscriptions in a profitable way.”
Ian Anderson, Group President at Westlake Financial, further commented:
“Partnering with NXCR is an exceptional product market fit that puts Westlake on the frontline of financial services innovation,. A flexible mobility option outside the traditional loan or lease that’s affordable and not bound by terms is a highly attractive value proposition for consumers and forward-thinking dealers.”
NextCar reported it is on a mission to create a profitable platform that enables vehicle subscription to thrive as a sustainable business model in automotive retail.