Growth Stock Reports

IEG Holdings Corp. (IEGH)

Category: News

EG Holdings Urges LendingClub Board to Enter into Negotiations with IEG Holdings and to also Explore Opportunities in the Crypto/Blockchain Sector

LAS VEGAS, NV–(Marketwired – January 23, 2018) – IEG Holdings Corporation (OTCQB: IEGH) (“IEG Holdings”) has commenced a tender offer to exchange 13 shares of IEG Holdings’ common stock for each share of LendingClub Corporation (“LendingClub”) common stock, up to an aggregate of 20,701,999 shares of LendingClub common stock, representing approximately 4.99% of LendingClub’s outstanding shares as of October 31, 2017, validly tendered and not properly withdrawn in the offer. The offer is scheduled to expire at 5:00 p.m., Eastern time, on Thursday, February 22, 2018, unless the offer is extended or earlier terminated.

IEG Holdings urges LendingClub to enter into negotiations with IEG Holdings, rather than simply dismissing the tender offer. IEG Holdings also encourages LendingClub to explore opportunities in the crypto/blockchain sector, as IEG Holdings believes LendingClub’s use of blockchain technology may increase cash flow security, transparency and customer loan risk analysis with an open ledger. IEG Holdings believes that the LendingClub board of directors should be held accountable by its shareholders for continuing to pursue a flawed, slim margin “broker” business model and ignoring blockchain technology.

Based on the closing prices of IEG Holdings’ and LendingClub’s common stock on January 22, 2018, the aggregate market value of 13 shares of IEG Holdings offered in the offer is approximately 12.1% MORE than the value of one LendingClub share.

Market Price
Per Share
Total Value
(as of January 22, 2018)
1 Share of LendingClub Common Stock $ 4.06 $ 4.06
13 Shares of IEG Holdings Common Stock $ 0.35 $ 4.55
AMOUNT YOU MAY POTENTIALLY GAIN: $ 0.49 per Share

IEG Holdings has identified what it believes to be a number of major risks and problems with the LendingClub business and management:

  • Flawed, slim-margin, loss-making business model
  • Weak underwriting standards
  • Lack of company-owned state lending licenses
  • Unsustainable funding sources
  • Lack of leadership and excessive cost structure
  • Poor stock market performance and zero dividends to shareholders

IEG Holdings’ Reasons for the Offer

IEG Holdings believes that changing LendingClub’s business model to a balance sheet lender model would enable the company to generate significantly higher gross margins, provide significantly higher long duration cash flow from customers, build increased customer goodwill with customers and enable increased customer refinancing. The longer duration cash flow would provide more flexibility in reducing lending volumes during periods when underwriting risk levels are rising, as the company would be less dependent on brokering new loan deals every day to provide revenue. Becoming a balance sheet lender rather than a broker of loans would also remove the inherent potential conflict of interest and hazard of providing loans as a broker with potential lax underwriting standards due to the company and employees not taking the full risk of loan repayment. The addition of individual state licenses also is likely to reduce the regulatory risk of being operationally dependent on third parties for lending licenses. LendingClub could initially utilize its existing cash at bank to conduct balance sheet lending and then utilize customer principal and interest repayments, seeking additional debt or equity funding for additional growth of its loan book.

In reaching its decision to approve the offer and the acquisition of LendingClub shares, Paul Mathieson, IEG Holdings’ sole director, consulted with IEG Holdings’ senior management team and considered a number of factors, including the following material factors which Mr. Mathieson viewed as supporting his decision to approve the offer and the acquisition:

  • IEG Holdings intends to encourage LendingClub to undertake substantial costs cuts by terminating excess employees, achieving substantial cuts in advertising/marketing costs and other significant cost cutting measures;
  • IEG Holdings intends to encourage LendingClub to transform its broker business model with low gross margins and high volumes to focus on high gross margin unsecured loans to near prime clients with strong underwriting, company owned individual state licenses and retention of loans on its balance sheet to secure long duration cash flow from longer term loans;
  • IEG Holdings intends to encourage Lending Club to explore opportunities in the crypto/blockchain sector; and
  • The acquisition of LendingClub shares would substantially increase shareholder equity for IEG Holdings’ stockholders.

Consummation of the offer is conditioned upon satisfaction of certain customary conditions. Shares that are tendered pursuant to a notice of guaranteed delivery but not actually delivered to the depository and exchange agent for the tender offer, Computershare Trust Company, N.A., prior to the expiration time of the offer will not be deemed to be validly tendered into the offer unless and until such shares underlying such notices of guaranteed delivery are delivered.

Complete terms and conditions of the offer are set forth in the Letter of Transmittal and other related materials and in the registration statement on Form S-4, which were filed by IEG Holdings with the Securities and Exchange Commission (the “SEC”) on January 5, 2018.

Copies of the Letter of Transmittal and other related materials are available free of charge from Okapi Partners LLC, the information agent for the offer. LendingClub stockholders who have questions regarding the tender offer should contact the information agent at info@okapipartners.com or (855) 208-8903 (toll-free). Computershare Trust Company, N.A. is acting as depository for the tender offer.

Additional Information
This press release is provided for informational purposes only and does not constitute an offer to purchase or the solicitation of an offer to sell any securities. IEG Holdings has filed with the SEC a Registration Statement on Form S-4 and a Tender Offer Statement on Schedule TO containing a letter of transmittal and other documents relating to the tender offer. IEG Holdings or LendingClub will mail these documents without charge to LendingClub common stockholders. Investors and stockholders should read those filings carefully as they contain important information about the tender offer. These documents, as well as IEG Holdings’ other public filings with the SEC, may be obtained without charge at the SEC’s website at www.sec.gov and at IEG Holdings’ website at www.investmentevolution.com. The information contained on the SEC’s and IEG Holdings’ websites is not incorporated by reference in this press release and should not be considered to be a part of this press release. The letter of transmittal and related materials may also be obtained without charge by contacting Okapi Partners LLC, the information agent for the offer, at info@okapipartners.com or (855) 208-8903 (toll-free).

About IEG Holdings Corporation
IEG Holdings Corporation is an SEC reporting fintech company that provides online $5,000 and $10,000 unsecured consumer loans under the brand name, “Mr. Amazing Loans”, via its website and online application portal at www.mramazingloans.com. IEG Holdings currently offers $5,000 and $10,000 unsecured consumer loans that mature in five years. IEG Holdings is a direct lender with state licenses and/or certificates of authority in 20 states — Alabama, Arizona, California, Florida, Georgia, Illinois, Kentucky, Louisiana, Maryland, Missouri, Nevada, New Jersey, New Mexico, Ohio, Oregon, Pennsylvania, Texas, Utah, Virginia and Wisconsin. IEG Holdings provides loans to residents of these states through our online application portal, with all loans originated, processed and serviced out of our centralized Las Vegas head office.

IEG Holdings has formed Investment Evolution Crypto, LLC, a wholly owned subsidiary of IEG Holdings (“Crypto”). Crypto will explore the legalities and economic risks and benefits of entering into a joint venture with Investment Evolution Corporation, a wholly owned subsidiary of IEG Holdings (“IEC”), to accept repayment of customer loans in the form of crypto/blockchain currencies such as Bitcoin and provide the crypto equivalent of $5,000 and $10,000 loans to customers. IEG Holdings also plans to utilize a gold resource to investigate creating, through Crypto, its own gold metal-backed and Securities and Exchange Commission registered crypto/blockchain currency, and potentially offer loans and accept loan repayments in its own crypto/blockchain currency. Prior to launching these plans, Crypto will investigate the legalities and economic risks and benefits of its plans. Crypto has not begun operations and is in the development planning stages to explore these business opportunities in this time of changing technology. For more information about IEG Holdings, visit www.investmentevolution.com.

Forward-Looking Statements
This press release contains forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as “believe,” “expect,” “anticipate,” “plan,” “potential,” “continue” or similar expressions. Such forward-looking statements include risks and uncertainties, and there are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors, risks and uncertainties are discussed in IEG Holdings’ filings with the SEC. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond IEG Holdings’ control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects IEG Holdings’ current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. IEG Holdings assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.

IEG Holdings Corp. (IEGH) is Lending to the Under-Banked in 20 US States

  • Offering consumer loans in 20 states
  • Robust underwriting standards
  • Successful track record in the industry

Despite living in the country with the world’s most sophisticated financial system, 16 million American adults are ‘unbanked’, according to the latest ‘Report on the Economic Well-Being of U.S. Households’ issued by the Board of Governors of the Federal Reserve System (http://nnw.fm/29Obr). Unbanked consumers are those without “a checking, savings, or money market account.” In addition, another 43 million or so are ‘under-banked’, defined as having a deposit account but also using at least one alternative financial service in the prior year. Yet prick the people who fall into these two market segments and, like their better-banked brethren, they will bleed, being no different. That similarity extends to their need for certain banking services, such as the personal loans offered by IEG Holdings Corp. (OTCQB: IEGH). The Nevada-based company offers loan products, under the label ‘Mr. Amazing Loans’, to residents of 20 states.

Who hasn’t needed, at some point, a personal loan for an emergency or to finance some venture? Yet banks are notoriously finicky. As Bob Hope once observed, “A bank is a place that will lend you money if you can prove you don’t need it.” Moreover, non-bank lenders charge usurious rates. The typical payday loan has rates ranging from…

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IEG Holdings Corp. (IEGH) is “One to Watch”

  • State-licensed online unsecured consumer loan company
  • Attractive alternative to expensive payday lenders
  • Cumulative loan volume increased to more than $16 million end of 2017
  • Since January 2015, cumulative loan volume has increased by 192%

IEG Holdings Corp. (OTCQB: IEGH) is a publicly traded, global leader in consumer finance providing small-sized online personal loans in the United States via a state-licensed operating subsidiary, Investment Evolution Corporation, under the consumer brand “Mr. Amazing Loans.” Based in Las Vegas, the company originates consumer loans in 20 states: Alabama, Arizona, California, Florida, Georgia, Illinois, Kentucky, Louisiana, Maryland, Missouri, Nevada, New Jersey, New Mexico, Ohio, Oregon, Pennsylvania, Texas, Utah, Virginia and Wisconsin via its online platform and distribution network. IEGH is a licensed direct lender with state licenses and/or certificates of authority to lend in each state and offers all loans within the prevailing statutory rates.

Mr. Amazing Loans is a leading FinTech company specializing in dedicated loan amounts of $5,000 to $10,000 offered directly to consumers through an easy-to-use website known for its professional interaction with applicants. All loans are originated, processed and serviced out of the company’s Las Vegas corporate offices, eliminating the need for physical locations in each state where IEGH is licensed to…

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More from NetworkNewsWire

About NetworkNewsWire

NetworkNewsWire (NNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) NetworkNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, NNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. NNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, NNW brings its clients unparalleled visibility, recognition and brand awareness. NNW is where news, content and information converge.

IEG Holdings Plans to Create its own IEGH Crypto/Blockchain Currency Backed by Gold Metal and SEC Registration as a Security

LAS VEGAS, NV–(Marketwired – January 10, 2018) – IEG Holdings Corporation (“IEG Holdings”) (OTCQB: IEGH) announced today that its wholly owned subsidiary, Investment Evolution Crypto, LLC (“Crypto”), is negotiating to purchase a gold project with gold metal in the ground and prospecting licenses. IEG Holdings plans to utilize a gold resource to investigate creating, through Crypto, and a joint venture with Investment Evolution Corporation, also a wholly owned subsidiary of IEG Holdings, its own gold metal-backed crypto/blockchain currency, and potentially offer loans and accept loan repayments in its own crypto/blockchain currency. Crypto has not begun material operations and is in the development planning stages to explore these crypto/blockchain opportunities in this time of changing technology. Prior to launching these plans, Crypto will investigate the legalities and economic risks and benefits of its plans. Any crypto currency offering will be registered with the Securities and Exchange Commission (“SEC”).

Paul Mathieson, IEG Holdings’ Chairman and Chief Executive Officer, said, “Unlike Bitcoin, Ripple, Ethereum and Litecoin etc., IEGH’s crypto currency is planned to be backed by gold metal and registered with the SEC as a security. We believe potentially combining the exciting new blockchain technology with the hard asset of gold metal, expected SEC registration, a leading sophisticated online consumer finance system and individual US state lending licenses is a very exciting proposition. In addition, we believe the future leaders of the crypto/blockchain sector will be companies that are materially compliant with all the existing and future related US government legislation. We aim for IEGH to leverage off its existing fintech business credentials, specifically its extensive experience in online consumer loans, to potentially be a key player in the crypto/blockchain sector.”

IEG Holdings is an SEC-reporting fintech public company that holds 20 individual state lending licenses and/or certificates of authority that has taken IEG Holdings nearly a decade to secure.

Make sure you are first to receive timely information on IEG Holdings when it hits the newswire by signing up for IEG Holdings’ email news alert system at http://www.investmentevolution.com/alerts.

Additional Information

This press release is provided for informational purposes only and does not constitute an offer to purchase or the solicitation of an offer to sell any securities. IEG Holdings has filed with the SEC a Registration Statement on Form S-4 and a Tender Offer Statement on Schedule TO containing a letter of transmittal and other documents relating to the tender offer. IEG Holdings or LendingClub Corporation will mail these documents without charge to LendingClub Corporation common stockholders. Investors and stockholders should read those filings carefully as they contain important information about the tender offer. These documents, as well as IEG Holdings’ other public filings with the SEC, may be obtained without charge at the SEC’s website at www.sec.gov and at IEG Holdings’ website at www.investmentevolution.com. The information contained on the SEC’s and IEG Holdings’ websites is not incorporated by reference in this press release and should not be considered to be a part of this press release. The letter of transmittal and related materials may also be obtained without charge by contacting Okapi Partners LLC, the information agent for the offer, at info@okapipartners.com or (855) 208-8903 (toll-free).

About IEG Holdings Corporation

IEG Holdings Corporation provides online $5,000 and $10,000 unsecured consumer loans under the brand name, “Mr. Amazing Loans”, via its website and online application portal at www.mramazingloans.com. IEG Holdings started its business and opened its first office in Las Vegas, Nevada in 2010 and currently offers $5,000 and $10,000 unsecured consumer loans that mature in five years. IEG Holdings is a direct lender with state licenses and/or certificates of authority in 20 states — Alabama, Arizona, California, Florida, Georgia, Illinois, Kentucky, Louisiana, Maryland, Missouri, Nevada, New Jersey, New Mexico, Ohio, Oregon, Pennsylvania, Texas, Utah, Virginia and Wisconsin. IEG Holdings provides loans to residents of these states through our online application portal, with all loans originated, processed and serviced out of our centralized Las Vegas head office.

For more information about IEG Holdings, visit www.investmentevolution.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as “believe,” “expect,” “anticipate,” “plan,” “potential,” “continue” or similar expressions. Such forward-looking statements include risks and uncertainties, and there are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors, risks and uncertainties are discussed in IEG Holdings Corporation’s filings with the Securities and Exchange Commission. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond IEG Holdings Corporation’s control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects IEG Holdings Corporation’s current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. IEG Holdings Corporation assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.

IEG Holdings Commences Tender Offer for Shares of LendingClub and Highlights LendingClub’s Flawed, Slim Margin “Broker” Business Model and Weak Underwriting Standards

Las Vegas, Nevada – (January 8, 2018) – IEG Holdings Corporation (OTCQB: IEGH) (“IEG Holdings”) commences tender offer to exchange 13 shares of IEG Holdings’ common stock for each share of LendingClub Corporation (“LendingClub”) common stock, up to an aggregate of 20,701,999 shares of LendingClub common stock, representing approximately 4.99% of LendingClub’s outstanding shares as of October 31, 2017, validly tendered and not properly withdrawn in the offer. The offer is scheduled to expire at 5:00 p.m., Eastern time, on Thursday, February 22, 2018, unless the offer is extended or earlier terminated.

 

Based on the closing prices of IEG Holdings’ and LendingClub’s common stock on January 4, 2018, the aggregate market value of thirteen (13) shares of IEG Holdings offered in the offer is 4.6% MORE than the value of one (1) LendingClub share.

 

    Market Price Per Share   Total Value  
           (as of January 4, 2018)

 

 
1 Share of LendingClub Common Stock   $       4.10   $        4.10  
13 Shares of IEG Holdings Common Stock   $       0.33   $        4.29  
           
AMOUNT YOU MAY POTENTIALLY GAIN:                                          $   0.19 per Share

 

IEG Holdings cautions shareholders of LendingClub against dismissing IEG Holdings’ tender offer. IEG Holdings believes that the LendingClub board of directors should be held accountable by its shareholders for continuing to pursue a flawed, slim margin “broker” business model. IEG Holdings urges LendingClub to enter into negotiations with IEG Holdings, rather than simply dismissing the tender offer.

 

Paul Mathieson, IEG Holding’s Chairman and Chief Executive Officer, said, “We ask LendingClub shareholders to consider whether they wish to move forward with an improved online balance sheet lender model aimed at the future or continue to support what we believe to be a flawed ‘broker’ business model. Weak underwriting standards, tiny gross margins and large, continuing losses is a recipe for disaster.”

 

IEG Holdings has identified what it believes to be a number of major risks and problems with the LendingClub business and management below:

 

FLAWED, SLIM MARGIN, LOSS-MAKING BUSINESS MODEL

 

Despite brokering more than $26 billion of loans since inception, LendingClub still reported a loss of $61.8 million for first nine months of 2017 and loss of $146.0 million for the 2016 full year. The gross margins that LendingClub achieves are simply too slim compared to the high costs of customer acquisition and operating costs. If LendingClub stops originating loans, the majority of its income dries up immediately. Transitioning to a balance sheet lender likely would significantly increase gross margins, without a significant change in customer acquisition costs. It’s possible that LendingClub will never achieve profitability using its current business model.

 

WEAK UNDERWRITING STANDARDS

 

A mid-2017 media report by Bloomberg indicates that:

 

  • LendingClub only verified income about a third of the time for one of the most popular loans it made in 2016, and
  • If LendingClub finds errors in a loan application, it may still approve the loan.

 

In addition, the percentage of loans that LendingClub has written off has continued to grow over time. Unlike LendingClub, IEG Holdings and most traditional consumer finance companies go well beyond a simple FICO score. IEG Holdings thoroughly reviews loan applications, always verifying income, analyzing bank statements, pay stubs and tax returns, and most importantly, calculating the customer’s capacity to repay the loan.

 

LACK OF COMPANY-OWNED STATE LENDING LICENSES

 

LendingClub doesn’t hold individual state lending licenses and instead utilizes the services of a Utah-based bank. This raises regulatory risks around issues such as the potential breaking of individual state interest rate caps and compliance. There is also a risk of regulatory changes that would put an end to the outsourcing of bank licenses, in an attempt to ensure more protections for consumers and a level playing field for competitors. There is a precedent for past regulatory changes in the consumer finance sector, with the pay day loan market previously decimated as a direct result.

 

UNSUSTAINABLE FUNDING SOURCES

 

The returns to investors in the underlying loans for peer-to-peer lenders are falling as losses are much higher than expected, likely as a result of weak underwriting standards. If returns turn negative then peer-to-peer lenders face the risk of lawsuits and the risk that investors cease to buy the loans, effectively killing off the “broker” business model. LendingClub is therefore only superficially immune to default risk. Investors in the loans bear this risk and they will ultimately respond to the characteristics and performance of the loan portfolio.

 

LACK OF LEADERSHIP AND EXCESSIVE COST STRUCTURE

 

Renaud Laplanche, LendingClub’s founder and CEO, resigned in 2016 following an investigation by the board of directors into, among other things, certain corporate activities under Mr. Laplanche’s watch. The investigation uncovered falsified loan documentation, knowing failure of corporate personnel to follow an investor’s express instructions regarding loans, and the sale of loans in direct contravention of the investor’s instructions. LendingClub now lacks a visionary leader and has been in decline ever since Mr. Laplanche’s departure. LendingClub leases an expensive office in San Francisco and has hundreds of excess developers employed. IEG Holdings believes that LendingClub’s excessive cost structure is unsustainable, with high core operating costs as compared to gross revenue, resulting in high levels of losses.

 

POOR STOCK MARKET PERFORMANCE AND ZERO DIVIDENDS TO SHAREHOLDERS

 

LendingClub’s share price has decreased 84% since its initial public offering in December 2014, dropping from $25.74 in December 2014 to $4.10 as at January 4, 2018, after reaching a low of $3.29 in December 2017. In addition, LendingClub has never paid, and has no reported intention to pay, a dividend to shareholders. This compares to IEG Holdings which is currently paying quarterly dividends with a current annualized dividend yield of 6.1% per annum.

 

IEG Holdings’ Reasons for the Offer

 

IEG Holdings believes that changing LendingClub’s business model to a balance sheet lender model would enable the company to generate significantly higher gross margins, provide significantly higher long duration cash flow from customers, build increased customer goodwill with customers and enable increased customer refinancing. The longer duration cash flow would provide more flexibility in reducing lending volumes during periods when underwriting risk levels are rising, as the company would be less dependent on brokering new loan deals every day to provide revenue. Becoming a balance sheet lender rather than a broker of loans would also remove the inherent potential conflict of interest and hazard of providing loans as a broker with potential lax underwriting standards due to the company and employees not taking the full risk of loan repayment. The addition of individual state licenses also is likely to reduce the regulatory risk of being operationally dependent on third parties for lending licenses. LendingClub could initially utilize its existing cash at bank to conduct balance sheet lending and then utilize customer principal and interest repayments, seeking additional debt or equity funding for additional growth of its loan book.

 

In reaching its decision to approve the offer and the acquisition of LendingClub shares, IEG Holdings’ sole director consulted with IEG Holdings’ senior management team and considered a number of factors, including the following material factors which Mr. Mathieson viewed as supporting his decision to approve the offer and the acquisition:

 

  IEG Holdings intends to encourage LendingClub to undertake substantial costs cuts by terminating excess employees, achieving substantial cuts in advertising/marketing costs and other significant cost cutting measures;
     
  IEG Holdings intends to encourage LendingClub to transform its broker business model with low gross margins and high volumes to focus on high gross margin unsecured loans to near prime clients with strong underwriting, company owned individual state licenses and retention of loans on its balance sheet to secure long duration cash flow from longer term loans;
  IEG Holdings intends to encourage Lending Club to explore opportunities in the crypto/blockchain sector; and
  The acquisition of LendingClub shares would be substantially net asset per share accretive for IEG Holdings stockholders and substantially increase shareholder equity.

 

“We are committed to providing LendingClub shareholders with the ability to realize the value our proposal represents, and we believe the offer makes both financial and strategic sense. LendingClub shareholders deserve a Board and management team that does not willfully ignore the compelling value-enhancing benefits of our proposal,” Mr. Mathieson concluded.

 

Consummation of the offer is conditioned upon satisfaction of certain customary conditions. Shares that are tendered pursuant to a notice of guaranteed delivery but not actually delivered to the depository and exchange agent for the tender offer, Computershare Trust Company, N.A., prior to the expiration time of the offer will not be deemed to be validly tendered into the offer unless and until such shares underlying such notices of guaranteed delivery are delivered.

 

Complete terms and conditions of the offer are set forth in the Letter of Transmittal and other related materials and in the registration statement on Form S-4, which were filed by IEG Holdings with the Securities and Exchange Commission (the “SEC”) on January 5, 2018.

 

Copies of the Letter of Transmittal and other related materials are available free of charge from Okapi Partners LLC, the information agent for the offer. LendingClub stockholders who have questions regarding the tender offer should contact the information agent at info@okapipartners.com or (855) 208-8903 (toll-free). Computershare Trust Company, N.A. is acting as depository for the tender offer.

 

Additional Information

This press release is provided for informational purposes only and does not constitute an offer to purchase or the solicitation of an offer to sell any securities. IEG Holdings has filed with the SEC a Registration Statement on Form S-4 and a Tender Offer Statement on Schedule TO containing a letter of transmittal and other documents relating to the tender offer. IEG Holdings or LendingClub will mail these documents without charge to LendingClub common stockholders. Investors and stockholders should read those filings carefully as they contain important information about the tender offer. These documents, as well as IEG Holdings’ other public filings with the SEC, may be obtained without charge at the SEC’s website at www.sec.gov and at IEG Holdings’ website at www.investmentevolution.com. The information contained on the SEC’s and IEG Holdings’ websites is not incorporated by reference in this press release and should not be considered to be a part of this press release. The letter of transmittal and related materials may also be obtained without charge by contacting Okapi Partners LLC, the information agent for the offer, at info@okapipartners.com or (855) 208-8903 (toll-free).

 

About IEG Holdings Corporation

IEG Holdings Corporation provides online $5,000 and $10,000 unsecured consumer loans under the brand name, “Mr. Amazing Loans,” via its website, www.mramazingloans.com.  In addition, IEG Holdings announced on December 22, 2017 that it has formed Investment Evolution Crypto, LLC, a wholly owned subsidiary of IEG Holdings (“Crypto”). Crypto will explore the legalities and economic risks and benefits of entering into a joint venture with Investment Evolution Corporation, a wholly owned subsidiary of IEG Holdings (“IEC”), to accept repayment of customer loans in the form of crypto/blockchain currencies such as Bitcoin, provide the crypto equivalent of $5,000 and $10,000 loans to customers, and also potentially create and issue an IEC cryptocurrency. Crypto has not begun operations and is in the development planning stages to explore these business opportunities in this time of changing technology. For more information about IEG Holdings, visit www.investmentevolution.com.

 

Forward-Looking Statements

This press release contains forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as “believe,” “expect,” “anticipate,” “plan,” “potential,” “continue” or similar expressions. Such forward-looking statements include risks and uncertainties, and there are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors, risks and uncertainties are discussed in IEG Holdings’ filings with the SEC. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond IEG Holdings’ control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects IEG Holdings’ current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. IEG Holdings assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.

 

The contents of IEG Holdings’ website referenced herein are not incorporated into this press release.

 

Contact:

Company

Paul Mathieson

IEG Holdings Corporation

Chairman/CEO and Founder

info@investmentevolution.com

IEG Holdings Corporation Announces Commencement of Tender Offer for Shares of LendingClub Corporation

IEG Holdings Corporation Announces Commencement of Tender Offer for Shares of LendingClub Corporation

LAS VEGAS, NV–(Marketwired – January 05, 2018) – IEG Holdings Corporation (OTCQB: IEGH) (“IEG Holdings”) today announced the commencement of a tender offer to exchange 13 shares of IEG Holdings’ common stock for each share of common stock of LendingClub Corporation (“LendingClub”), a NYSE-listed company, up to an aggregate of 20,701,999 shares of LendingClub common stock, representing approximately 4.99% of LendingClub’s outstanding shares as of October 31, 2017, validly tendered and not properly withdrawn in the offer.

The offer is scheduled to expire at 5:00 p.m., Eastern time, on Thursday, February 22, 2018, unless the offer is extended or earlier terminated.

Consummation of the offer is conditioned upon satisfaction of certain customary conditions. Shares that are tendered pursuant to a notice of guaranteed delivery but not actually delivered to the depository and exchange agent for the tender offer, Computershare Trust Company, N.A., prior to the expiration time of the offer will not be deemed to be validly tendered into the offer unless and until such shares underlying such notices of guaranteed delivery are delivered.

Complete terms and conditions of the offer are set forth in the Letter of Transmittal and other related materials and in the registration statement on Form S-4, which were filed by IEG Holdings with the Securities and Exchange Commission (the “SEC”) today.

Copies of the Letter of Transmittal and other related materials are available free of charge from Okapi Partners LLC, the information agent for the offer. LendingClub stockholders who have questions regarding the tender offer should contact the information agent at info@okapipartners.com or (855) 208-8903 (toll-free). Computershare Trust Company, N.A. is acting as depository for the tender offer.

Additional Information
This press release is provided for informational purposes only and does not constitute an offer to purchase or the solicitation of an offer to sell any securities. IEG Holdings has filed with the SEC a Registration Statement on Form S-4 and a Tender Offer Statement on Schedule TO containing a letter of transmittal and other documents relating to the tender offer. IEG Holdings or LendingClub will mail these documents without charge to LendingClub common stockholders. Investors and stockholders should read those filings carefully as they contain important information about the tender offer. These documents, as well as IEG Holdings’ other public filings with the SEC, may be obtained without charge at the SEC’s website at www.sec.gov and at IEG Holdings’ website at www.investmentevolution.com. The information contained on the SEC’s and IEG Holdings’ websites is not incorporated by reference in this press release and should not be considered to be a part of this press release. The letter of transmittal and related materials may also be obtained without charge by contacting Okapi Partners LLC, the information agent for the offer, at info@okapipartners.com or (855) 208-8903 (toll-free).

About IEG Holdings Corporation
IEG Holdings Corporation provides online $5,000 and $10,000 unsecured consumer loans under the brand name, “Mr. Amazing Loans,” via its website, www.mramazingloans.com. For more information about IEG Holdings, visit www.investmentevolution.com.

Forward-Looking Statements
This press release contains forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as “believe,” “expect,” “anticipate,” “plan,” “potential,” “continue” or similar expressions. Such forward-looking statements include risks and uncertainties, and there are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors, risks and uncertainties are discussed in IEG Holdings’ filings with the SEC. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond IEG Holdings’ control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects IEG Holdings’ current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. IEG Holdings assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.

IEG Holdings Corporation Surpasses $16 Million Cumulative Loan Volume Level After Increasing 192% Since January 2015

LAS VEGAS, NV–(Marketwired – January 02, 2018) – IEG Holdings Corporation (OTCQB: IEGH) announced today that it provided an additional $960,000 in new consumer loans via its www.mramazingloans.com website over the October to December 2017 period, surpassing the $855,000 provided over the July to September 2017 period. Since January 2015, cumulative loan volume has increased by 192% from $5,549,023 to $16,209,023 as of December 31, 2017.

Make sure you are first to receive timely information on IEG Holdings when it hits the newswire by signing up for IEG Holdings’ email news alert system at http://www.investmentevolution.com/alerts.

About IEG Holdings Corporation

IEG Holdings Corporation provides online $5,000 and $10,000 unsecured consumer loans under the brand name, “Mr. Amazing Loans,” via its website, www.mramazingloans.com. For more information about IEG Holdings, visit www.investmentevolution.com.

Forward-Looking Statements

This press release contains forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as “believe,” “expect,” “anticipate,” “plan,” “potential,” “continue” or similar expressions. Such forward-looking statements include risks and uncertainties, and there are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors, risks and uncertainties are discussed in IEG Holdings’ filings with the SEC. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond IEG Holdings’ control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects IEG Holdings’ current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. IEG Holdings assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.

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