IRVING, Texas, Oct. 01, 2025 (GLOBE NEWSWIRE) -- Arra Finance, LLC (“Arra” or the “Company”), a subprime indirect auto finance company, today announced that it has finalized its acquisition of the auto finance division of Crescent Bank and increased its funding capital sources. With the completion of these key business developments, Arra takes a major step forward as a significant player in the subprime auto financing space, with a significantly expanded origination capacity and the secure financing necessary to be a partner of choice for dealers across the country.
Arra’s acquisition of Crescent Bank’s auto finance division closed on September 15, bringing an enhanced technology stack to the Arra platform, including e-contracting and auto-decision capabilities, sophisticated analytics and fraud protection tools. The transaction also added an established servicing system, infrastructure and larger team, which will allow Arra to service Crescent Bank’s $770 million auto loan portfolio in addition to Arra’s own loans. As previously announced, the closing of this deal significantly increases Arra’s auto finance origination capacity, with an expanded dealer base, industry-leading credit application response times and an advanced analytical framework.
With the support of Obra Capital (“Obra”), Arra has entered into a multi-year forward flow agreement that will ensure its supporting capital base can scale in tandem with the rapid growth of its business. Through its innovative capital structure, Arra has also secured access to a credit warehouse facility with Goldman Sachs, providing readily accessible senior warehouse financing. Taken together, this wider pool of funding capital and ability to generate consistent long-term cash flow allows Arra to match its expanded origination capacity with a robust financing ecosystem operating at scale.
“Arra is set to advance the subprime auto financing market. We have built a platform tailor-made to meet dealer needs, with near immediate credit application response times and a strong financing pipeline,” said Kenn Wardle, Chief Executive Officer of Arra. “With today’s announcement, we have the funding, reach, technology and analytic capabilities necessary to deliver routinely positive results for our dealers at significant volume. We are thrilled to enter this next phase of growth for our business.”
Steven Lackowski, Chief Financial Officer of Arra, added, “Arra has established an innovative and durable capital structure, with flexibility enabled by continued support from Obra. Our capital strategy continues to be a key differentiator as we can offer efficient products for dealerships, borrowers and investors. In preparation for our entry into the ABS market, we have enhanced the scalability of our platform, improving our ability to meet dealer needs with diversified, reliable capital sources and positioning Arra as the trusted partner dealers can count on to fuel their growth.”
“In just a few short months, Arra has executed on key growth objectives with speed and precision, emerging as a leader in the subprime auto finance market,” said Blair Wallace, President & Chief Executive Officer of Obra. “With expanded capital markets access, we see considerable opportunity for Arra to capitalize on its industry positioning, establishing a new model for operational excellence and strategic execution.”
About Arra Finance
Arra Finance is a subprime indirect auto finance company providing fast, simplified solutions and options for dealers. The company’s cutting-edge auto finance platform delivers auto financing solutions for used car buyers to over 5,900 franchise and independent dealerships across 40 states. With a scalable origination system, industry leading application turnaround time and an expansive data warehouse, Arra is the partner of choice for dealers looking to facilitate sales and grow their businesses. For more information about Arra Finance, please visit www.arrafinance.com.
About Obra Capital
Obra is a specialized alternative asset management firm that provides investment products and solutions across insurance and credit verticals. The firm aims to generate long-term value and returns for investors through a variety of funds and separate accounts. With capabilities in investing, originating, structuring, and servicing, Obra strives to provide differentiated investment opportunities for investors globally. As of August 31, 2025, the estimated unaudited amount of assets under management across Obra’s registered investment advisors, was approximately $6.2 billion. For more information about Obra and its registered investment advisors, please visit www.obra.com.
Media Contacts
Dan Gagnier
Gagnier Communications
Obra@gagnierfc.com
646-569-5897
