Nectaro Analysis

Nectaro is a newly launched peer-to-peer lending platform from Latvia under the umbrella of Dyninno Fintech Holding Ltd, a holding incorporated in Cyprus. Nectaro started in November 2023 connecting lenders to borrowers in Moldova and Romania via personal loans originated by EcoFinance, a financial institution also within the Dyninno Fintech Holding structure. Nectaro’s debt investment products are structured as a “series of notes”. The platform is licensed and regulated by the Central Bank of Latvia as an investment firm. Only EEA residents and companies can invest in Nectaro. Since its beginning in November 2023, Nectaro has raised about €520,000, averaging a monthly volume of €130,000.^[1]

• Nectaro connects lenders to borrowers in Moldova and Romania through personal loans originated by EcoFinance, a financial institution within the same corporate group.
• Nectaro offers structured debt investment products in “series of notes”, starting at a minimum of €50.
• Loan durations range from 11 months to 4 years, with interest rates ranging from 12.5% to 14%.
• Nectaro provides a buyback guarantee on loans, which entails the platform’s obligation for early repayment if a borrower delays payment for up to 60 days.

Nectaro serves as a bridge connecting investors with EcoFinance-issued loans, which acts as an underwriter through two loan originators in Moldova and Romania. Investors enter into loan agreements with Nectaro, which in turn functions as a lender to EcoFinance subsidiaries. Operating as a peer-to-peer lending platform, Nectaro facilitates the connection between its investor community and the loan originators, who belong to the same group of companies under Dyninno Fintech Holding Ltd.^[2]

Investors can choose from a variety of debt products packaged as "Series of Notes," consisting of aggregated loans. These offerings are business loans linked with personal loans,^[3] which are structured as amortized loans with a monthly repayment schedule.^[4] The minimum investment is €50, with loan durations spanning 11 months to 4 years across the active campaigns. The investments range from €1,212 to €13,242.

Nectaro provides a buyback guarantee on the loans, which entails an early repayment obligation. If a borrower delays payment for up to 60 days, Nectaro’s loan originators will repurchase the investment on the 61st day.^[5] Investors have no direct legal ties to borrowers, as they lend money to EcoFinance, which is Nectaro’s loan originator. Financial institutions controlled by EcoFinance hold the loan contracts and collateral, preventing investors from making direct claims against borrowers.

Nectaro does not offer a secondary market for exiting investments early, nor does it provide an auto-invest feature for queuing up new investments available on the platform. The platform applies different withholding tax rates based on the investor’s country of tax residence. Lenders from Latvia incur a 20% withholding tax rate, while for EU/EEA country residents, a 5% withholding tax rate on interest income, is automatically deducted from their accounts. Lenders residing in Lithuania benefit from a 0% withholding tax rate.^[6]

Among the active campaigns, Nectaro offers an interest rate between 12.5% and 14%. As a relatively new platform, it has yet to disclose statistics such as the amount paid out to investors, delay rates, and default rates.

Nectaro does not directly apply fees to investors. Since loan agreements are established between the loan originators and the borrowers, the platform does not provide information regarding borrower fees. Nectaro primarily earns revenue through service fees. Considering that loan agreements are facilitated by EcoFinance, the loan originators within the group, it is reasonable to infer that the platform profits from the spread but it is not clear how the fee structure is.

Dmitry Tsymber is the Founder and Chairman of Nectaro. Before leading Nectaro, Tsymber served as the CEO and Board Member of FORUS Bank. He also established and chairs EcoFinance, which serves as Nectaro’s loan originator. Alongside him is Sigita Kotlere, who serves as the CEO at Nectaro. Previously, she held the position of Platform Lead at Dyninno Group and worked as a Partnership Executive at Mintos. Kotlere’s experience extends to private banking and retail client servicing from her tenure as a private banker and Head of Retail Client Servicing at BluOr Bank. Anna Berezovska holds the position of Chief Compliance Officer at Nectaro. Berezovska was previously at Debitum, where she held various key roles such as Lawyer, Compliance Officer, and Data Protection Officer.

Nectaro is incorporated as SIA Nectaro in Latvia. The company is 100% owned by Dyninno Fintech Holding Limited, a holding company incorporated in Cyprus. Dyninno is a group of companies founded in 2004 in San Francisco by Alex Weinstein.^[7]

Nectaro’s loan originator, affiliated with the Dyninno group under the banner of EcoFinance, controls two subsidiaries: Creditprime in Romania and Creditplus in Moldova. Together, they offer various financial products to retail customers, including lines of credit, installment loans, and single-payment loans. Creditprime caters to about 100,000 registered clients, while Creditplus serves around 4.6 million registered clients.^[8]

Nectaro has yet to disclose its financial reports, while EcoFinance, since its establishment, has issued more than €350 million worth of loans and is currently managing a loan portfolio of €22 million.^[9]