06/05/2021

Press release

FINTECTURE RAISES $7.5M TO FACILITATE PAYMENTS AND ACCELERATE MERCHANTS’ GROWTH ACROSS EUROPE.

Fintecture’s next-gen payment infrastructure enables merchants to bypass card ceilings, technical declines and fees, boosting sales while reducing cost and fraud.
• The French Fintech, which has signed over 500 merchants in less than a year, has raised a $7.5M Seed round (in equity), led by Target Global joined by Samaipata and Société Générale, to become a European account-to-account payments leader.
• The startup has already been licensed as a payment institution across the 30 EEA countries and has developed proprietary API integrations with most banks in Europe.
• This funding secures Fintecture’s financial soundness, by adding two prestigious European VC’s and a French bank to its investors. The round also allows the Fintech to reaffirm its “Talent-First” vision by dedicating a significantly large equity pool to its employees.

Paris, May the 4th 2021 – Only a year after its commercial launch, Fintecture – the next-gen payment infrastructure – has attracted over 500 merchants, doubling its activity every two months and quadrupling its cross-functional team of 30 employees. Fintecture announced a $7.5 million seed round to continue its development and consolidate its Talent-First vision by dedicating a significantly large equity pool to its employees.

The Seed round was led by Target Global, joined by Samaipata, Société Générale, and a number of high-profile operators and founders from leading financial and tech institutions such as Adyen, Affirm, American Express, Facebook Payments, Google, PayPal, and Snapchat. This first funding round will allow the startup to hire 30 new talents, augment its infrastructure with new services, accelerate its European deployment and reach 10,000 merchants.

The next-gen payment infrastructure to free commerce from the failings of a legacy system.

With the surge of e-commerce, merchants and their customers, particularly B2B, suffer from the shortcomings of legacy payment processes:

• Restricting sales through low card ceilings and technical declines: ~20% of on-line card payments are declined.
• Eroding margins through chargebacks, fraud, and punitive fees: merchants lose over $100 billion to payment providers annually.

These limitations are caused by the inefficiencies of a legacy system, conceived more than 50 years ago and built around multiple intermediaries.

Leveraging a technological and regulatory transformation of the banking industry (eg: PSD2), Fintecture has built from first principles a new payment infrastructure, addressing these failures and shortcomings. Using APIs to integrate with banks, Fintecture has built the missing direct link between merchants and their customers, to process payments in a simpler, safer, and cost-efficient manner: account-to-account.

Payment as an enabler of merchants’ growth.

Traditionally considered as a cost center and a cause of friction, payment should be used by merchants as leverage to accelerate their growth. With Fintecture, merchants have been able to increase their volumes by 15% and save 40% of their transaction costs, on average.

Fintecture is spearheading the transformation of this $100+ billion industry and is set to become a global leader in the new payment landscape.

« The payment industry is going through a deep transformation. The payment infrastructure we deploy is to traditional payments what smartphones are to cell phones: fund transfer is the basis, but the added value lies in the adjacent services » says Faysal Oudmine, co-founder and CEO at Fintecture

«We are excited to work with the Fintecture team as they deliver on their impressive vision for the next-generation payment rails to offer both merchants and buyers a frictionless, secure, and less costly payment processing alternative to incumbent solutions » adds Dr. Ricardo Schäfer, Partner at Target Global

With this funding round, Fintecture intends to augment its infrastructure with new services, such as Buy Now Pay Later, and accelerate its European deployment. To continue delivering on its ambitious vision, the startup will recruit 30 new hires across different departments over the next few months. The investment will also allow Fintecture to ramp up its growth to reach 10,000 merchants over the course of the next 18 to 24 months.

About Fintecture

Founded by Tatiana Rozoum, Anjan Som, Faysal Oudmine et Reda Charai, Fintecture is a licensed Payment Institution (ACPR – Banque de France) which has integrated more than 2,000 bank APIs across Europe to build a payment infrastructure designed for 2020 and beyond.
Every day more than $1 billion worth of payments are declined illegitimately. Thanks to the next-gen payment infrastructure developed by Fintecture, merchants can finally circumvent these declines while significantly reducing cost and increasing security.

About Target Global

Target Global is an international Venture Capital firm headquartered in Berlin, with over €1.5bn in assets under management. With offices in London, Tel Aviv, and Barcelona, they invest across multiple stages, investing in fast-growing tech companies targeting trillion-euro markets. The Target Global portfolio includes companies such as Auto1, Cazoo, Delivery Hero, Fresha, Omio (formerly GoEuro), Rapyd, TravelPerk, WeFox and Zego.

About Samaipata

Samaipata is an early stage pan-European VC. The fund was created by two entrepreneurs, José del Barrio, co-founder of the leading food-delivery platform in Spain, sold to Rocket Internet for $100 million and Eduardo Díez-Hochleitner, senior executive and BA and current Chairman at MásMóvil. Samaipata invests principally in digital platforms with network effects at Seed stage across France, Southern Europe, the UK and Germany. For more information: www.samaipata.vc

About Societe Generale

Societe Generale is one of the leading European financial services groups. Based on a diversified and integrated banking model, the Group combines financial strength and proven expertise in innovation with a strategy of sustainable growth. Committed to the positive transformations of the world’s societies and economies, Societe Generale and its teams seek tobuild, day after day, together with its clients, a better and sustainable future through responsible and innovative financial solutions.

Active in the real economy for over 150 years, with a solid position in Europe and connected to the rest of the world, Societe Generale has over 133,000 members of staff in 61 countries and supports on a daily basis 30 million individual clients, businesses and institutional investors around the world by offering a wide range of advisory services and tailored financial solutions. The Group is built on three complementary core businesses:

• French Retail Banking which encompasses the Societe Generale, Credit du Nord and Boursorama brands. Each offers a full range of financial services with omnichannel products at the cutting edge of digital innovation;

• International Retail Banking, Insurance and Financial Services to Corporates, with networks in Africa, Russia, Central and Eastern Europe and specialised businesses that are leaders in their markets;

• Global Banking and Investor Solutions, which offers recognised expertise, key international locations and integrated solutions.

Societe Generale is included in the principal socially responsible investment indices: DJSI (World and Europe), FTSE4Good (Global and Europe), Bloomberg Gender-Equality Index, Refinitiv Diversity and Inclusion Index, Euronext Vigeo (Europe and Eurozone), STOXX Global ESG Leaders indexes, and the MSCI Low Carbon Leaders Index (World and Europe).

In case of doubt regarding the authenticity of this press release, please go to the end of Societe Generale’s newsroom page where official Press Releases sent by Societe Generale can be certified using blockchain technology. A link will allow you to check the document’s legitimacy directly on the web page.

For more information, you can follow us on Twitter @societegenerale or visit our website www.societegenerale.com.

Nuevos informes y series de datos: El Capital riesgo Informal en España 2020 / Informe de Impacto Económico y Social del Capital Privado en las operaciones de Middle Market en España. 2018 (ASCRI) / Informe de Impacto Económico y Social de los préstamos otorgados por Enisa

Otros informes destacados: Madurez del Venture Capital en España.  (English version)/ Financiación de startups de Energía en España / El tiempo de las desinversiones en Private Equity en España (English version)

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