News Summary

Montréal-based digital mortgage lender Nesto has achieved a nearly $1.5-billion CAD valuation following its latest Series E funding round. The company raised $107 million in primary capital and $195 million in secondary capital. Nesto plans to use the funds to enhance its AI capabilities and technology infrastructure, aiming to expedite partner and client onboarding and scale its platform. The funding round saw participation from new investors La Caisse, Fidelity, Picton Investments, and Endeavor Catalyst, along with returning investors such as Portage, Diagram, NAventures, Fonds de solidarité FTQ, and Fondaction. Nesto, co-founded by CEO Malik Yacoubi, is focusing on transforming into a ‘mortgage ecosystem’ by developing white-label technology for Canadian financial institutions. The company recently launched its Maestro AI platform, which can underwrite mortgage deals in less than two minutes, a significant improvement over the traditional timeframe. Nesto’s rapid growth is evident with over $37 billion in mortgage originations this year and more than $80 billion in mortgages under its administration.