Company: PGYWW
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001883085-25-000195
Chunk: 69

Company: Pagaya Technologies Ltd.
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 1
Chunk 69
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 attributable to the VIEs noncontrolling interests, (2) share-based compensation, which decreased by $0.9 million compared to the same period in 2024, (3) depreciation and amortization, which increased by $2.5 million compared to the same period in 2024, primarily from capitalized software, and (4) fair value 

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adjustment to warrant liability, which increased by $6.8 million compared to the same period in 2024, driven by changes in the market price of our Class A Ordinary Shares.

Our net cash flows resulting from changes in operating assets and liabilities decreased by $37.7 million to net cash outflows of $63.2 million for the nine months ended September 30, 2025 compared to net cash outflows of $25.5 million for the same period in 2024.  

Investing Activities 

Our primary uses of cash in investing activities are the purchase of risk retention assets of sponsored securitization vehicles and other investments.  

For the nine months ended September 30, 2025, net cash used in investing activities totaled $209.5 million, primarily driven by purchases of risk retention assets. These purchases of risk retention assets amounted to $361.1 million, a decrease of $177.7 million compared to the prior period, driven by diversified funding channels, including asset-backed securitization, pass-through and forward flow transactions, in the current period. This cash outflow was partially offset by proceeds received from existing risk retention assets, which totaled $178.2 million, an increase of $73.7 million compared to the prior period.

Financing Activities 

For the nine months ended September 30, 2025, net cash provided by financing activities of $86.9 million was primarily attributable to $500.0 million of proceeds from the issuance of senior notes and $263.5 million of proceeds from secured borrowing, partially offset by $347.6 million and $310.8 million of repayments made to term loan and secured borrowing, respectively.

Indebtedness

2025 Revolving Credit Facility

On October 1, 2025, the Company refinanced the Revolving Credit Facility by way of terminating Credit Agreement and entering into a new three-year revolving credit facility (the “2025 Revolving Credit Facility”) with a syndicate of financial institutions. The 2025 Revolving Credit Facility provides a committed borrowing capacity of $132 million. Borrowings under the 2025 Rev