Canada- based PowerBand sign up a contract to buy 60% of MUSA Holdings and MUSA Auto Finance subsidiary. MUSA’s leadership will stay in place. PowerBand was negotiated to buy a 75 % stake in MUSA in a $15 million deal that is held in January. MUSA has not originated any leases or loans since October said by Jeff Morgan, CEO of MUSA. Under PowerBand’s oversight, the company strategies to continue business in the 60 days. MUSA was founded in 2016, originated US$ 157.5 million in auto loans and leases in 2018. The company’s entire lending capacity for 450 dealer partners. According to reports, a tiny leasing MUSA Auto Finance company that soon stopped new business last fall. After a partnership with Tesla Inc. An overcome its capital resources has sold a majority interest. To a PowerBand Solutions Inc.is a Canadian technology company.
Last year, Tesla detailed MUSA as a partner to create leases for the electric vehicle maker. The added volume rapidly overwhelmed MUSA’s credit line. The prompting a shutdown of new business. According to MUSA, Tesla has been attracted to automated decision making software by fintech company. The software takes an application, determines a lease, and auto-decisions application. To provide the approval to dealer partners. And pre fills a lease contract correctly in less than 8 seconds. At the time, Tesla inked the deal with MUSA, the electric vehicle maker was ramping up production on its newest vehicle. Model 3, and burning through cash. Tesla required partners to aid invent leases.
When MUSA expressed dealer customers that could no extensive finance deals due to partnership withTesla. MUSA’s leasing capacity increase sixfold from Aug to Sep. The company sent an email to its dealer customers. According to MUSA company, Tesla Inc. showed US$50 million leasing contracts to the MUSA. MUSA’s sudden stop in the business without the funding to left dealer associates. And some of the customers had leased without vehicles.