Blue Owl Backs Sofi Loan Business with $5B Deal

Blue Owl Capital has partnered with SoFi Technologies to establish an up to $5 billion Loan Platform Business for personal loans, marking SoFi’s largest such agreement to date.

The two-year deal leverages SoFi’s platform—originating loans for third parties and referring pre-qualified borrowers—building on its $2.1 billion 2024 volume. Blue Owl, with $250 billion under management, doubles down after SoFi’s $2 billion Fortress pact last October.

For Blue Owl Capital, the $5 billion SoFi deal underscores its expanding footprint in fintech lending, a sector buzzing with recent activity. Neuberger Berman recently committed $1 billion to ClarityPay, while Affirm’s December 2024 tie-up with Sixth Street, backed by a $4 billion investment, aims to fuel over $20 billion in consumer loans over three years.

In the fourth quarter of 2024, Blue Owl Capital’s credit strategy pivoted toward tech-enabled lending, agreeing to buy up to $2 billion in consumer loans from Upstart’s AI-driven marketplace and up to $350 million in Home Equity Investments from Splitero. Blue Owl Capital’s credit platform, its largest division, closed 2024 with $135.7 billion in assets under management, a 60% jump from the previous year.

“SoFi has been expanding credit access to more people with innovative solutions. We see a strong opportunity in being part of this growth through this strategic program,” said Ivan Zinn, Head of Alternative Credit at Blue Owl.

In 2024, SoFi’s loan platform business generated $2.1 billion in loan originations. Through this operation, SoFi earns fees by originating loans for partners while retaining servicing rights.