Investing.com -- Shares of SoFi Technologies Inc. (NASDAQ: SOFI ) climbed 3% following the announcement of a significant expansion of its Loan Platform Business through agreements with Fortress Investment Group and Edge Focus. The fintech company secured a $3.2 billion commitment, enhancing its capacity to meet the rising demand for personal loans.

On April 17, 2025, SoFi announced a $2 billion extension of its existing agreement with Fortress for personal loans, building upon the initial $2 billion arrangement set in October 2024. In addition, SoFi entered a two-year deal to originate $1.2 billion in loans, powered by technology from a joint venture between Fortress and Edge Focus. This brings Fortress’s total commitment to SoFi’s Loan Platform Business to over $5 billion.

SoFi’s CEO, Anthony Noto, expressed that the bolstered collaboration with Fortress underscores the Loan Platform Business’s success and scalability. The additional funding is expected to propel SoFi towards a business model that relies less on capital intensity and more on fee-based revenues. Dominick Ruggiero, Global Co-Head of Asset Based Credit at Fortress, mirrored this sentiment, highlighting the extended partnership as a vote of confidence in SoFi’s consumer loan products.

The Loan Platform Business at SoFi connects pre-qualified borrowers with loan origination partners and also originates loans for third parties. This strategic move is designed to better serve borrower needs for personal loans while also creating investment opportunities for Fortress’s funds.

The market’s positive response to SoFi’s announcement reflects investor optimism regarding the company’s growth trajectory and its ability to generate more stable revenue streams. The expansion of its loan origination capabilities is a key step in SoFi’s strategy to strengthen its position in the competitive fintech landscape.

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