Figure Technology Solutions Submits Draft Registration Statement for IPO: Inside the Journey of a Lender on the Path to Becoming Public

Figure Technology Solutions moves closer to becoming a publicly traded company

In recent news, Figure Technology Solutions, the parent company of Figure Lending LLC, has taken a significant step towards becoming a public company by submitting a draft registration statement to the U.S. Securities and Exchange Commission for an initial public offering (IPO). The company filed a Form S-1, a standard filing used by companies planning to go public to register their securities. While specific details such as the number of shares offered and price range were not disclosed, this move marks progress in Figure’s journey towards becoming a publicly traded company.

The idea of taking LendCo, Figure’s lending division, public was first hinted at in November when the company hired Goldman Sachs Group Inc., JP Morgan Chase & Co., and Jefferies Financial Group Inc. to take LendCo through the IPO process. LendCo was valued between $2 billion and $3 billion and was expected to go public in the first half of 2024. According to HousingWire, Figure Lending LLC has been operating under FTS, independently of CEO Mike Cagney’s Figure Technologies, in preparation for the public offering.

Figure’s journey towards becoming a public company hasn’t been without its challenges. The company originally planned to merge with a special purpose acquisition company (SPAC) called Figure Acquisitions Corp. However, the deal was abandoned due to financial reasons. In 2022, Figure also attempted to merge with Homebridge Financial Services but regulatory delays caused the deal to fall through. Despite these setbacks, Figure has managed to originate over $8 billion in home equity lines of credit (HELOCs) and serve over 100,000 households nationwide as of February 2024. With this latest move towards going public, it seems that Figure is determined to continue its success as a lender while also expanding its reach and visibility as a publicly traded company.

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