PowerBand Solutions (TSXV: PBX) is going big time. The company announced this morning that it is currently working to expand its leasing division to thirteen additional states by September 15, 2020. The expansion will enable over 200 million Americans to access its digital lease and financing solution.
The expansion follows the success that Musa Auto Finance, the firms leasing division, has seen with its initial rollout in Texas, Florida and California. The firms proprietary tech can approve a vehicle for lease in as little as eight seconds, enabling almost instant approval for dealers and drivers that are seeking to lease vehicles.
PowerBand has secured an initial $300 million finance facility from a federally chartered financial institution, which enables the firm to offer flow through leasing options to consumers. Once fulfilled, the credit facility will be securitized, with the original facility effectively being replenished entirely. The company currently indicates that it expects this securitization to happen several times annually, providing a glimpse into the level of auto sales that the firm expects to facilitate each year.
“PowerBand, and its U.S. leasing division, continue our advance into the U.S. market. Through MUSA we offer what we believe is the most efficient, consumer friendly way for
Kelly Jennings, CEO of PowerBand Solutions
drivers and dealers to lease vehicles, as easy as buying a product on Amazon.”
The company is currently continuing negotiations to secure additional finance facilities, which are said to be in advanced stages.
PowerBand Solutions last traded at $0.24 on the TSX Venture.
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