FinTech Daily News – Edition 14, 21.07.2017
July 21, 2017
FinTech Daily News – Edition 16, 25.07.2017
July 25, 2017

FinTech Daily News – Edition 15, 24.07.2017

FinTech Daily News

by Florin Oprea

Edition 15, 24.07.2017

Deals, Investments & M&As

Fintech Frenzy On £3bn Bid For London Star Paysafe

Jamie Nimmo – Evening Standard

London’s booming financial technology scene was set alight by a shock £2.9 billion bid for one of the capital’s biggest payments companies. Paysafe, the FTSE 250 firm formerly known as optimal Payments, received a 590p-a-share cash bid from private-equity giants Blackstone and CVC Capital Partners.

FAO: Two in a month. London strikes again. Remember Vantiv’s bid for Worldpay Group, earlier this month.

Fintech Startup Klarna Taps Permira For Around $250M At $2.5B Valuation

Ingrid Lunden – TechCrunch

Klarna, the Swedish startup that works with e-commerce businesses and retailers to provide financing and other payment services, has picked up yet another large investment, its third inside of two months. Permira, the private equity firm and prolific late-stage tech investor, has taken a minimum 10% stake in the fintech business.

Press release here.

FAO: Visa bought a strategic stake in Klarna, as reported last month, during our soft launch.

TransferWise Aims To Kick Off A New Fundraising To Take Its Value Above £1bn

Lucy White – City A.M.

TransferWise, the six-year-old British payment transfer startup, is aiming to kick off a new fundraising round which would see its value exceed £1bn for the first time.

FAO: Latest funding round, $26M in Series D in May 2016, was led by Baillie Gifford.

Borrowell Raises $57 Million From Portag3, First Ontario Credit Union

Jessica Galang  – Betakit

Borrowell has raised $57 million as it looks to expand its free credit and loan offerings to more customers.The company raised $12 million in equity funding and $45 million in new credit facilities. The equity round was led by Portag3 Ventures, Equitable Bank, and White Star Capital, with participation by FirstOntario Credit Union and other new and existing investors. This round brings the company’s total equity financing to $16.7 million.

Jack Ma’s Acquisition Of MoneyGram Could Be Blocked

Josh Kosman – New York Post

Chris Smith, the co-chair of the Congressional-Executive Commission on China, thinks Washington should not allow Ant Financial to gain control over MoneyGram and its 30,000 US locations because it is 15 percent owned by Beijing.

Karmic Brings In $17.2 Million

NewsCenter

Fintech startup Karmic announced it has raised $17.2 million in Series B financing. Five investors participated in the round, including Arbor Ventures, Alsop Louie Partners, Greycroft Partners, and Startup Capital Ventures.

Lending

Fintech Offers Money for Nothing

Finews

A Berlin-based firm has a novel approach to passing on negative interest rates to clients.

Smava is dangling an irresistible goodie (in German) in front of potential clients: money for literally nothing.The German fintech is offering a loan of 1,000 euros now, with monthly credit repayments of 27.61 euros for four years – an interest rate of -0.04 percent. Why?

FAO: …”and chicks for free”?

Wealth & Personal Finance

Betterment Just Landed An $800 Million Valuation

Frank Chaparro – Business Insider

Betterment, the largest independent roboadviser, announced Friday morning a new round of funding that would bring the firm’s valuation to $800 million.

FAO: The $70M Series E round was led by Kinnevik AB, same company which led last year’s  $100M round.

FinTech People

Via Financial Times (subscription): Square adds Shake Shack CEO to board

Via TechCrunch: SoFi loses another senior executive, as chief revenue officer Michael Tannenbaum departs

Follow The Leader: Ahmed El Alfi, Founder And Chairman , Sawari Ventures

Tamara Pupic- Entrepreneur

TechCrunch Reporter Alleges 500 Startups Venture Partner Groped Her In Taipei

Ethan Baron –  Siliconbeat

DNT: The saga of sexual harassment in the tech industry continues…with a lot of negative impact on it. We reported several stories about that. If you want to refresh your informations, please consult our Archive.

AngelList Co-founder Babak Nivi Out ‘For My Own Reasons’

Josh Constine – TechCrunch

“Mr. Nivi has no role at the company” AngelList COO Graham Jenkin told TechCrunch in response to questions regarding the curious absence of the investment platform’s co-founder. It’s atypical for the creator of such a high-profile company to seemingly disappear without any form of announcement.

DNT: Hmm, strange indeed…There are some misconduct rumors …but the company refused to comment. Though, Mr. Nivi  stated he’s working on a new project. So, is this a only a PR answer or not? We will find out somehow.

Latest Developments & Agreements

Fintech Firm Kyckr Begins Three-Year Deal With Bloomberg

Elaine O’Regan – The Business Post

The three-year deal will see Bloomberg integrate Kyckr’s company verification services with its own services for the financial services sector.

FINTQ Expands Digital Partnerships To Become Biggest Fintech Firm In Philippines

Philstar Global

FINTQ, the financial technology arm of PLDT and Smart’s Voyager Innovations, on Thursday announced a string of new digital partnerships with banks and non-banking institutions for a variety of financial technology products and services, making it the biggest fintech firm operating in the Philippines today.

Accelerators & Hubs

‘Go North, Young Startup’: Silicon Valley Might Be Converging With Sacramento

Giovanni Rodriguez – Forbes

Axis Bank Set To Use Solutions From Its Accelerator Project

Mugdha Variyar – Economic Times

Axis Bank is set to incorporate solutions around lending, operational efficiency and tax-planning, which are developed by startups from the first cohort of its accelerator programme.

FAO: Axis Bank will make use of solutions developed by Pally, FintechLabs and Gieom.

Taiwan Seed Accelerator: Taiwan Start-ups’ Future Is In Mainland China

Li Tao – South China Morning Post

New start-ups from Taiwan, where the entrepreneurial environment is lacklustre, should shift their focus to mainland China where there are abundant opportunities and capital, according to an industry veteran who recently started investing in start-ups.

Analysis

Fintech’s Wealthy Elder Statesmen

Lionel Laurent –  Bloomberg

Another day, another proposed takeover in the fast-growing payments sector. But investor enthusiasm is running into some hard financial truths. Not every payments company is equally valuable, and not every buyer is willing to splurge.

FAO: Article discussing the bid for Paysafe Group.

 

FAO: Florin Adrian Oprea, Editor-in-chief FinTech Daily News

DNT: Decebal Nicolaie Todarita, Editor FinTech Daily News