** Shares of financial technology firm Pagaya Technologies PGY.O jump as much as 12.5% in early trading; last up 6.7% at $11.15

** Funds managed by alternative asset manager Blue Owl Capital OWL.N have agreed to purchase as much as $2.4 bln of consumer loans through the PGY network over a 24-month period, PGY says

** Deal is in the form of a so-called forward flow agreement, wherein the buyer agrees to buy loans before they have originated

** Transaction demonstrates the role private credit can play to support the U.S. consumer lending industry, Ivan Zinn, head of alternative credit at Blue Owl says

** Brokerage Benchmark says PGY is now well-positioned to fund loan organizations with minimal use of its own capital

** PGY stock slumped 43.9% in 2024

(Reporting by Arasu Kannagi Basil in Bengaluru)

((ArasuKannagi.Basil@thomsonreuters.com;))