Progressive backs POS platform Octane
New York-based Octane Lending has closed a $52 million Series D round led by Progressive Investment Company, a member of Progressive . Additional investors include Valar Ventures, Upper90, Contour Venture Partners, Citi Ventures, Third Prime, and Parkwood, as well as new investors Gaingels and ALIVE. This brings the company’s valuation to over $900 million with over $192 million in total equity funding raised to date.
Founded in 2014, Octane enables recreational purchases (read: motorcycles, ATVs, and zero-turn lawn mowers) from start to finish. It does this by inspiring and informing enthusiasts through media brands such as Cycle World and UTV Driver, acquired in 2020 along with five other titles, prequalifying consumers instantly on dealer and OEM websites, and helping consumers find a dealership for a simple closing experience. Partnerships with select OEMs enable Octane to offer loans with promotional rates through its in-house lender Roadrunner Financial .
The new capital will be used to scale Octane’s buying solution for consumers shopping for powersports vehicles online, grow its family of 3,800 dealership partners and 40 OEM and brand partners—which include BRP, Suzuki, and Triumph Motorcycles—and expand to adjacent markets.
“We’re thrilled to embark on the next phase of growth backed by Progressive Insurance and our existing partners, who wholeheartedly believe in our mission of connecting people with their passion. We are winning in the market because we offer a faster lending experience that also covers more consumers than competitors, and we engage shoppers earlier in the process to streamline transactions.” – CEO Jason Guss.
“We’re excited for the opportunity to invest in Octane . Technology and consumers’ needs continue to evolve and Octane’s point-of-sale loan origination platform provides benefits to consumers and dealerships in a specialty segment of the lending market. We like to partner with innovative, forward-thinking companies and believe that our investment in Octane aligns very well with this strategy.” – Andrew Quigg, Chief Strategy Officer at Progressive Insurance.
