FinTech: Dutch Neobank bunq To Raise $190M, Acquire Lending Platform
The funding will value bunq at €1.65 billion (nearly $2 billion).
Dutch digital banking challenger bunq, which offers a completely mobile-based, branch-free banking experience, is to raise €160 million ($190 million) at a €1.65 billion (nearly $2 billion) valuation. Pending regulatory approval, the transaction is an investment from an unnamed UK-based private equity company for 10% of bunq’s equity. As part of the deal, the neobank will also acquire a small business lender from the same investor. (CROWDFUND INSIDER)
Alin Niknam (pictured below) found bunq in 2012 after obtaining the first European banking permit in over 35 years. Investing €79.9 million in the startup, Niknam embarked on a mission to disrupt legacy banking.
The challenger bank is now present in over 30 European markets and as of May 2021, had deposits over €1,000 million. The app supports Maestro and Mastercard (NYSE: MA).
Back in April, bunq joined the TARGET Instant Payment Settlement (TIPS) service, developed by the European Central Bank, to facilitate instant payments across Europe. It also earned the distinction of becoming the first challenger bank to be a part of the service.
The neobank commenced offering mortgages to Dutch clients in July 2020 and grew its mortgage portfolio by 400% within six months.
Fintech phos, a software solution that turns any Android NFC-enabled device into a POS terminal, also recently inked a deal with bunq, which will implement phos’ solution, enabling customers to replace the physical POS terminals or cash with a software-based POS.
It plans to offer the new feature to its retail merchant customers in various European markets including Belgium, France, Germany, Ireland, Italy, the Netherlands, Portugal, and Spain.
To date, bunq has raised €205M in funding.
Related Story: Heavyweights Are Match-Making In Global Cards And Payments
Latest Alternative Investment News
Flowcarbon, co-founded by Adam Neumann, known for WeWork, is a climate technology company seeking to formalize the market for carbon offsets on the blockchain. The startup announced Tuesday its $70…
One hapless investor lost about 3 billion won ($2.4 million) in the LUNA and UST implosion earlier this month. A Korean social media personality going by the name of “Chancers”…
Scientists have long held the view that earthquakes are impossible to predict, being random events. But the potential for damage these natural events have, including the loss of life, have…
Digital Assets: Swiss Venture Firm CV VC Launches African Blockchain Early-Stage Fund; Issues African Blockchain Report
CV VC announced Monday at Davos the launch of its African Blockchain Early-Stage Fund to bring the advantages of the blockchain and its own expertise to enable Africa to transact…