Group 1 - Findell Capital Partners, one of the largest stockholders of Oportun Financial Corporation, is committed to reaching a good faith settlement to resolve ongoing issues in a manner beneficial to all stockholders [1] - The addition of Warren Wilcox to the Board of Directors is proposed to enhance corporate governance and value creation, alongside the continued service of Scott Parker, who has relevant expertise [2] - Findell urges the Board to cease wasting stockholder capital on disputes and expresses readiness to engage in discussions for a mutually beneficial outcome [3]

Core Insights - Oportun Financial Corporation (OPRT) and Enova International Inc. (ENVA) are fintech companies focused on providing credit solutions to underserved consumers, utilizing advanced analytics and digital platforms to serve non-prime borrowers [1][4]. Company Performance - OPRT shares have increased by 89.7% year-to-date, while ENVA shares have risen by 15.8% [2][10]. - Oportun's total revenues have experienced a five-year compound annual growth rate (CAGR) of 10.8%, despite a decline in the first quarter of 2025 [7]. - Enova's revenues have shown a CAGR of 17.7% over the last five years, with continued momentum into 2025 [13]. Financial Projections - OPRT anticipates 2025 adjusted earnings per share (EPS) to be in the range of $1.10-$1.30, up from 72 cents in 2024, with total revenues expected to be between $945-$970 million [20][22]. - ENVA's consensus estimates indicate a year-over-year revenue increase of 17.8% for 2025 and 14.3% for 2026, with earnings growth of 28.7% and 17.7% for the same years [22][24]. Valuation Analysis - OPRT is currently trading at a price-to-tangible book (P/TB) ratio of 1.22X, while ENVA is trading at 3.31X, indicating that OPRT is undervalued compared to ENVA [10][25][27]. Business Models - Oportun focuses on small-dollar personal loans and financial inclusion, while Enova offers a broader range of products including installment loans and small business loans [29][30]. - Both companies leverage proprietary data analytics and machine learning to enhance underwriting and loan servicing [28]. Strategic Initiatives - Oportun is expanding into new markets and product offerings, including credit cards and secured personal loans, which are expected to drive future financial performance [31]. - Enova's diversified lending portfolio and strong cash flow generation support its growth, although exposure to subprime borrowers poses potential risks [30].

Company Strategy & Performance - Oportun shifted its focus from growth to profitability, reduced headcount, and streamlined operations due to changing economic conditions in early 2022[7] - Oportun's actions led to improved credit metrics, increased profitability, and a more than doubled stock price over the last 12 months[7] - Oportun is focused on three strategic priorities: improving credit outcomes, strengthening business economics, and identifying high-quality originations[14] - Oportun's strategy is delivering results, with progress on credit performance, expense discipline, and profitability[37] - Oportun achieved an Adjusted EBITDA of $105 million and Adjusted EPS of $0.72 in FY24[19] Findell's Proxy Contest - Findell Capital Management is pursuing a proxy contest to remove Oportun's CEO from the Board[7] - Oportun believes Findell's remaining ideas are not in the best interests of the company or its stockholders[17] - Oportun has concerns about Findell's nominee, Warren Wilcox, and his suitability as a fiduciary[17] - Oportun believes Findell's comparisons to OneMain Financial are misguided, as Regional Management is a more appropriate comparator[47] Board & Governance - Oportun's Board has been actively refreshed over the last several years and is best positioned to oversee the company's strategy[51] - Oportun is reducing the size of the Board, consistent with best practices and Findell's feedback[163]

Core Points - Findell Capital Partners, a major stockholder of Oportun Financial Corporation, has issued a rebuttal to Oportun's recent presentation, highlighting the need for board changes to restore company value [1] - James Gutierrez, Oportun's founder and former CEO, supports Findell's call for boardroom changes, emphasizing that Findell has identified the causes of the company's valuation gap and proposed a focused plan for recovery [2] - Findell is advocating for the election of Warren Wilcox to the Board of Directors to enhance the board's lending industry expertise and oversight of management [3] Summary by Sections Company Performance - Oportun has significantly underperformed its peers prior to Findell's involvement, indicating a need for further board refreshment to prevent additional value destruction [1] Board Composition - The company has faced criticism for not appointing independent directors with lending industry experience and for removing former CFO Scott Parker from the board [1] - Removing the failed CEO Raul Vazquez from the board is seen as a necessary step to strengthen oversight of management [1] Stockholder Engagement - Findell urges stockholders to vote for Warren Wilcox's election to the board during the upcoming Annual Meeting, emphasizing the importance of independent lending industry veterans in governance [3]

Core Viewpoint - Oportun's Board of Directors strongly supports the reelection of CEO Raul Vazquez and nominee Carlos Minetti, urging stockholders to vote "FOR" them on the GREEN proxy card, emphasizing their qualifications and the importance of continuity in leadership [2][17]. Company Leadership - Raul Vazquez has a proven leadership record, having transformed Oportun from a struggling regional lender into a national, digitally-driven financial services company, significantly increasing its loan portfolio from $100 million in 2012 to approximately $3 billion today [9][11]. - Vazquez's prior experience includes senior leadership roles at Walmart, where he oversaw a division generating over $60 billion in revenue and led significant growth in Walmart's e-commerce strategy [6][5]. Strategic Growth and Performance - Under Vazquez's leadership, Oportun expanded from two states to 41 states and diversified its product offerings, including secured loans and savings products [9]. - The company has returned to growth in loan originations and improved credit metrics, with a focus on cost reduction and operational efficiency, positioning it for strong financial results in 2025 [11][10]. Recognition and Impact - Oportun has received national recognition for its innovation and impact, being named one of the World's Most Innovative Companies by Fast Company and included in TIME magazine's list of "50 Businesses Inventing the Future" [14]. - Vazquez has been acknowledged for his leadership, serving on the boards of major companies like Staples and Intuit, and has received accolades such as the EY Entrepreneur of The Year® award in 2018 [12][14]. Stockholder Engagement - The Board emphasizes the importance of stockholder support for Vazquez's reelection, arguing that replacing him with a less qualified candidate would jeopardize the company's progress and disrupt its momentum [13][15]. - Stockholders are encouraged to visit VoteForOportun.com for more information on the company's progress and to support the current leadership [16].

Core Insights - Oportun Financial (OPRT) is utilizing technology, specifically artificial intelligence (AI) and machine learning (ML), to enhance its underwriting standards and provide personalized customer service [1][9] - The company has improved its V12 credit model by incorporating data from the inflationary period, which aligns with conservative credit standards [2] - OPRT's annualized net charge-off (NCO) rate decreased to 12% in 2024 from 12.2% in 2023, although it rose to 12.2% in Q1 2025 due to a reduction in back-book loan exposure [3] - The lending database allows OPRT to scale operations efficiently with minimal infrastructure investment [4] - OPRT's technological advancements provide a competitive edge over traditional lending peers, enabling rapid market share growth and cost efficiency [5] Industry Comparison - Peers such as Enova International, Inc. (ENVA) and Regional Management Corp. (RM) are also leveraging technology to enhance credit underwriting capabilities [6] - Enova employs The Colossus Analytics Engine, with approximately 90% of its models being ML-based [6] - Regional Management has improved its technological infrastructure, achieving a delinquency rate of 7.1% in Q1 2025 [7] Financial Performance - OPRT's shares have increased by 80.4% this year, contrasting with a 6.3% decline in the industry [8] - The company trades at a price-to-book ratio of 0.72, significantly below the industry average [10] - Zacks Consensus Estimate indicates OPRT's earnings growth of 63.9% and 39.2% for 2025 and 2026, respectively, although estimates have been revised downward recently [12]

Core Points - Oportun is urging stockholders to vote "FOR" its nominees, CEO Raul Vazquez and Carlos Minetti, using the GREEN proxy card in the upcoming Annual Meeting scheduled for July 18, 2025 [1][2] - The company emphasizes its commitment to driving long-term stockholder value through proactive steps taken by its Board and management [1] - Oportun has provided over $20.3 billion in responsible and affordable credit since its inception, saving members more than $2.4 billion in interest and fees [3] Company Overview - Oportun is a mission-driven financial services company focused on empowering its members with intelligent borrowing, savings, and budgeting capabilities [3] - The average amount saved by members annually is over $1,800, reflecting the company's dedication to helping members achieve their financial goals [3]

NEW YORK, June 17, 2025 /PRNewswire/ -- Findell Capital Partners, LP, (together with its affiliates, "Findell," "we" or "us") one of the largest stockholders of Oportun Financial Corporation (NASDAQ: OPRT) ("Oportun" or the "Company"), today issued the following statement:"While we have gone to great lengths to engage privately with the Board on ideas for creating value and a settlement, we have been met with sustained resistance. Oportun is wasting millions of stockholder dollars to fight one of its larges ...

Core Viewpoint - Findell Capital Partners emphasizes the need for increased independence and consumer finance expertise on the board of Oportun Financial Corporation, criticizing the current board's oversight and management accountability [1][2]. Group 1: Board Performance and Management Issues - The legacy Board of Directors has failed to effectively oversee management, leading to significant losses and a decline in stockholder capital, with nearly $1.5 billion lost due to poor strategic decisions [3]. - CEO Raul Vazquez's management has resulted in a 76% decline in stock price from September 2019 to March 2023, with Oportun underperforming compared to its peer, OneMain Holdings, in key financial metrics [3]. - The current board lacks lending experience, particularly in subprime lending, and several members have potential conflicts of interest due to past relationships [3]. Group 2: Proposed Changes and Opportunities - Findell advocates for the election of Warren Wilcox, an independent director with relevant subprime lending expertise, to improve board oversight and eliminate legacy control [2][3]. - The company has the potential to reduce corporate overhead by $80 million and achieve an operating expense ratio of less than 12%, aligning more closely with competitors [3]. - Oportun could target a pre-tax return on assets (ROA) of 8-10% and maintain a conservative leverage ratio to achieve over 40% return on equity (ROE) [3]. Group 3: Financial Projections - If Oportun reduces annual operating expenses to $325 million by the end of 2026, the stock could potentially reach over $22 per share, assuming a pre-tax ROA of 8-10% and a market multiple of 6-7X earnings [3][4].

Core Insights - Oportun Financial Corporation's shares have increased by 80.7% in 2025, outperforming both its peers and the broader Finance sector [1][5] - The company has shown solid loan growth and revenue performance, although there are concerns regarding tariff-related issues and geopolitical tensions [2][3] Financial Performance - Oportun's total revenues and loans receivable at fair value have experienced a 5-year compound annual growth rate (CAGR) of 10.8% and 8.1%, respectively [3] - The company expects total revenues to be between $945 million and $970 million in 2025, down from $1 billion in 2024 [12][24] - Management anticipates adjusted earnings per share (EPS) to rise to a range of $1.10 to $1.30 in 2025, up from $0.72 in 2024 [5][24] Growth Drivers - Oportun is driving loan growth through diverse offerings, including personal loans and "lending as a service" programs, which help expand its client base [7] - The company has been leveraging technology, particularly AI and machine learning, to enhance underwriting standards and improve customer service [13][15] - Rising non-interest income has been supported by higher subscriptions and servicing fees, with a CAGR of 6.4% over the five years ended 2024 [8] Valuation and Market Position - Oportun's price-to-book (P/B) ratio is 0.72X, significantly lower than the industry average of 3.48X, indicating that the stock is undervalued [18][20] - The company's return on equity (ROE) stands at 10.12%, which is favorable compared to the industry average of 8.06% [26][29] Challenges - Operating expenses have shown a 5-year CAGR of 2.5%, driven by increased sales, marketing, and technology costs [30] - The company has faced weak asset quality, with net charge-offs (NCOs) reflecting a CAGR of 19.7% over the past five years [31]