BlackFin Tech weekly — July 10th, 2023
Every Monday, we publish a short digest which sums up last week's fintech activity.
Hello, Fintech Enthusiasts!
Welcome back to another exciting edition of our fintech newsletter. Without further ado, let's dive straight into the latest updates.
Last week we saw 14 deals in Europe for a total amount of 101m€ raised with 4 deals in France, 3 in Switzerland, 2 in the UK and Spain, and 1 in Belgium, Romania, and Czech Republic.
Congratulations to the Brussels-based insurtech Qover on its €27.5m Series C round led by Alven, Anthemis, Kreos Capital and Zurich Global Ventures, followed by the French accounting startup Dougs, that raised $27 million from Expedition Growth Capital. Finally, Tandem, the UK’s greener digital bank raised a $20m from Quilam Capital.
Let’s dive in
Qover raised a $30m Series C up-round funding with a diverse group of investors, including Alven, Anthemis, Kreos Capital and Zurich Global Ventures.
Qover's latest funding announcement comes on the heels of a series of partnership news, further solidifying its position as a leading embedded insurance orchestrator. Qover's platform can integrate seamlessly with any insurer or broker, it fosters valuable collaborations with key brands such as Revolut, Qonto, Monzo or ING.
The funding will enable Qover to fuel expansion efforts, propel technology development and facilitate strategic partnerships.
After bootstrapping for 8 years, Dougs raises $27 million from Expedition Growth Capital.
Dougs is an online chartered accountant service for SMEs. It handles financial statements and generates certified tax filings. Dougs works with chartered accountants, legal experts, HR professionals, etc. But the company has also designed its own accounting application to improve the relationship between the Dougs team and its clients.
According to Techcrunch, the company is already profitable, generates $16.4 million (€15 million) in ARR with 14,000 clients and 250 full-time employees.
With this funding, the startup plans to expand to new countries, such as Germany and the U.K
Tandem raised £20m with Quilam Capital. The news follows Tandem’s acquisition of London-based social money sharing app Loop in April for an undisclosed amount. Early last year, it also acquired UK-based consumer lender Oplo in a bid to create a “fairer, greener digital bank”.
Since its creation, the neobank has pivoted from a direct-to-consumer credit card to positioning itself as a ‘green’ lender, by helping households reduce their carbon footprint. by offering customers loans, savings and mortgage products under the epitaph 'Banking for a Greener Future’.
Tandem has 280,000 customers and £1.75bn in deposits.
Congrats also to Numarics, Shardeum, Keewe, Statement, All Structured Notes, Mipise, Selma Finance, Pledger, Eonstarter, Lemonero andVestinda, for their fundraisings!
In addition to this week’s fundraising activity, we also observed the following M&A deals in Europe:
Billwerk, a leading subscription and recurring billing platform, has acquired Plenigo, a competitor in the same space. This acquisition will allow Billwerk to enhance its product portfolio and leverage Plenigo's advanced features and solutions for subscription management, paywall implementation, content monetization, usage tracking, and data analysis. The merger creates a unified and market-leading platform in the subscription and recurring billing industry, providing customers with an exceptional level of service and functionality.
Papara, a leading Turkish neobank with 16 million customers, has acquired Spain-based fintech company Rebellion. Papara offers comprehensive digital banking solutions, while Rebellion is known for its mobile accounts and fee-free transfers. The acquisition enables Papara to expand its product range, leverage Rebellion's expertise, and drive European growth. Integration of the Rebellion team, talent recruitment, and a new brand identity are part of the plan.
Viennese fintech company ready2order has been acquired by the Zucchetti Group, expanding capabilities and creating new market opportunities. This acquisition strengthens Zucchetti's presence in fintech and fosters collaboration for improved products and services.
And finally, here are the news that caught our eye last week:
Revolut recently revealed that it has expanded its financial services in Germany by offering personal loans. Existing clients may now apply for loans, which can range anywhere between €1,000 and €50,000 via the platform’s Fintech app with only a few clicks. Repayment will be completed in equal monthly instalments with interest rates established based on a client’s creditworthiness. In addition to these services, Revolut supports flexible loan terms from 12 to 96 months.
Nine UK banks, including Lloyds Bank, Halifax, Bank of Scotland, NatWest, Monzo, and TSB, have partnered with Mastercard for an AI-powered fraud risk solution. Using tracing activity and analysis factors like account names and payment history, Mastercard's AI provides real-time intelligence to stop fraudulent payments. TSB's results suggest that if all banks adopt this technology, it could save nearly £100 million in scam payments annually across the UK.
Thai SEC Issues New Rules for Crypto Firms, Bans Lending Services. According to those new guidelines, these firms will have to disclose a warning about potential risks associated with cryptocurrency trading. Digital asset business operators will also provide investment suitability assessment results before customers begin trading. Additionally, customers will need to give their consent and acknowledge the risks of crypto trading before they proceed. These new rules will come into effect on 31 July 2023.
Have a great week & see you next week!