.png){kind=logo}
Figure Technology Solutions has agreed to acquire Kiavi, an AI-powered real estate lending platform, in a $717 million deal aimed at expanding its blockchain-based lending network.
The transaction brings Kiavi’s technology and operating platform under Figure, while a joint venture between Figure and Sixth Street will purchase Kiavi’s balance sheet assets. The deal adds a real estate lending platform to Figure’s growing push into tokenized real-world assets.
Figure Technology Solutions, listed on NASDAQ under the ticker FIGR, operates as a non-bank provider of home equity lines of credit. It also runs Figure Connect and Democratized Prime, platforms used for tokenized consumer credit assets and blockchain-based funding.
Kiavi serves residential real estate investors through lending products tied to property purchases, renovations, and rentals. Its products include short-term residential transition loans and longer-duration Debt Service Coverage Ratio loans for rental properties.
Figure said the acquisition will allow Kiavi’s assets to move onto its blockchain marketplace rails. The company expects its infrastructure to support Kiavi’s loan origination flow, trading partners, and funding distribution.
Meanwhile, Sixth Street will support the transaction through the joint venture buying Kiavi’s loan assets. The companies said this structure keeps Figure focused on a capital-light model while expanding activity across its marketplace.
Figure expects Kiavi to contribute more than $7 billion in annual first-lien origination volume. It also expects the platform to add more than $100 million in monthly flow to Democratized Prime, its blockchain-native warehouse funding platform.
The company said Kiavi gives Figure access to an annual addressable origination market of about $200 billion. Figure plans to process that activity through its tokenized lending infrastructure.
Additionally, Figure said more than 40% of its consumer loan marketplace volume could become first-lien in 2027 after the Kiavi transaction. That would broaden its lending base beyond home equity products.
Kiavi generated more than $250 million in revenue and over $100 million in EBITDA during the previous year. Figure said the combined business should support its medium-term EBITDA margin target of 60%.
Figure CEO Michael Tannenbaum said the transaction forms part of the company’s plan to move capital markets onto blockchain rails. He said, “Figure is relentless in our pursuit of moving the capital markets onto blockchain rails.”
Tannenbaum also linked the deal to Figure’s post-IPO expansion, saying the Kiavi transaction marks ‘a further pole vault into tokenization, first-lien diversification and our agentic AI platform.’
Kiavi CEO Arvind Mohan said the deal ‘represents a massive leap forward for the asset class.’ Mohan is expected to join Figure as chief business officer after the transaction closes.
However, the companies did not give a closing time frame in their statement. The deal remains subject to completion steps tied to the acquisition and related asset purchase structure.
Figure also plans to use Kiavi as the first application for Adaptor, its new artificial intelligence product. The company said Adaptor supports agent-to-agent onboarding across Figure Connect and Democratized Prime.
According to Figure, the product is designed to reduce the time and cost needed for asset originators to join its platforms. Kiavi’s real estate lending assets will serve as the first use case.
Mike Cagney, Figure’s co-founder and executive chair, said on-chain capital markets are still at an early stage. He said, “Blockchain is a big idea, but the on-chain capital markets are in their infancy.”
Figure shares closed down 0.74% at $28.07 on Wednesday. The stock has fallen 25.4% over the past month, even as the company reported strong first-quarter growth in lending volume and adjusted revenue.
Also Read: Crypto News Today: BTC ETF Outflows, Strategy Buys 24.8K Bitcoin
