Pagaya Announces Strategic Actions to Enhance Marketability of its Stock, Strong Financial Outperformance in 4Q23 and FY23

Pagaya Technologies Ltd. (NASDAQ: PGY) (“Pagaya”, the “Company” or “we”), a global technology company delivering artificial intelligence infrastructure for the financial ecosystem, today announced several initiatives to enhance the marketability of its stock and provide increased disclosure and transparency of its business and performance, including its intent to elect to voluntarily file on U.S. domestic issuer forms with the Securities and Exchange Commission (“SEC”) beginning with its first quarter 2024 results, as well as relocate its corporate headquarters to New York City. In addition, the Company’s Board of Directors approved a proposal, to be submitted to shareholders for approval at a special meeting, to authorize the Board to effect a reverse split (the “Reverse Split”) of its ordinary shares, at a proposed range between 1-for-10 and 1-for-15. The Reverse Split is expected to be effected in the first quarter of 2024, with the final ratio to be determined by the Board after shareholder approval. The Company also today announced expectations for certain preliminary, unaudited financial results for the year ended December 31, 2023, with its final fourth quarter and full-year 2023 results expected to be announced on February 21, 2024.

“Our preliminary results for full-year 2023 demonstrate the strength of our powerful two-sided network and differentiated product offerings for lenders and investors,” said Gal Krubiner, co-founder and CEO of Pagaya Technologies. “As we continue on our journey as a public company, we are implementing several strategic actions to improve our stock’s marketability, further aligning our business with U.S. capital market practices and bolstering our ability to enhance long-term shareholder value. These actions include enhancing disclosure of our business and performance on a quarterly and annual basis, relocating our global headquarters to the U.S. and a proposal to execute a reverse split of our ordinary shares. We look forward to discussing these details further during our upcoming earnings conference call in February.”

Preliminary Fiscal Year 2023 Financial Results

• Full-year 2023 Network Volume expected to exceed the high end of the Company’s previously announced outlook range of $8.0 billion to $8.2 billion;
• Full-year 2023 Total Revenue and Other Income expected to be in line with the Company’s previously announced outlook range of $800 million to $825 million; and
• Full-year 2023 Adjusted EBITDA expected to exceed the high end of the Company’s previously announced outlook range of $65 million to $75 million.

The preliminary 2023 financial information presented in this press release has not been audited and is subject to change. The Company expects to announce its final fourth quarter and full-year 2023 financial results before market open on Wednesday, February 21, 2024.