Affirm Holdings, Inc. (NASDAQ: AFRM) saw its stock price surge 5.24% in pre-market trading on Tuesday, following the announcement of an extended capital partnership with Moore Capital Management. This positive movement reflects investor optimism about the company's financial stability and growth prospects.

The extension of the long-term capital partnership between Affirm and Moore Specialty Credit, the Private Asset Backed Finance platform of Moore Capital Management, LP, will now run through May 2027. This agreement builds upon a decade-long collaboration, with Moore being Affirm's first loan buyer since 2017. The partnership is crucial for Affirm's mission to provide flexible, transparent payment options without late fees or hidden charges.

Affirm's strong financial position is evident from its track record of issuing 24 asset-backed securitizations totaling $12.25 billion and increasing its total funding capacity to $23.3 billion as of March 31, 2025. Moore's significant investment of nearly $5 billion in Affirm's assets, supporting both asset-backed securitizations and forward flow partnerships, underscores the strength and potential of this extended collaboration. This renewed commitment from a major financial player appears to have boosted investor confidence, driving the stock's impressive pre-market rally.