14/01 Weekly FinTech Recap – What’s the Hottest?
- Blockchain , Digital banking , E-Commerce , Security and Compliance , Investment , Payments , Cloud , Security , Data , FinTech StartUps , IT Innovations , Risk Management , Corporate , M&A Deals , People Moves
- 14.01.2022 08:00 am
Several launches of new solutions, NFT creations, job moves, and collaborations took place at the beginning of January 2022. Which ones are worth reading?
New solution for trade finance intermediaries
A new Broker Module by Fineon Exchange, the leading global AI-powered marketplace for trade finance assets, helps trade finance brokers, advisors, and consultants to source and conclude trade finance agreements more efficiently with the help of a brand-new digital solution. Users can access the whole global network of banks and non-bank financial institutions through the broker-centric platform and identify the bankability transactions. This unique solution can match borrowers and funders, manage the transactions, and provide real-time funder connections visibility.
Tesco Bank announces its new way of shopping for Clubcard members
Tesco Clubcard Pay+, a new way for consumers to pay, save, and earn Clubcard points almost every time they purchase, is now available for all customers to sign up for. Tesco Clubcard Pay+, which is a first for the UK market and is given by Tesco Bank, is a more convenient method to pay for purchases. Following a successful phased rollout that began in March 2021 with a small number of customers and Tesco staff, more than 20 million Clubcard members may now apply online.
Investment and funding
Checkout.com raised $1 billion in series D
Checkout.com, a payment processing company for merchants, announced that it has secured $1 billion in its Series D fundraising round, valuing the company at $40 billion. Several large mutual fund management companies on the west coast are among the primary investors, including Altimeter, Dragoneer Capital, Franklin Templeton, GIC, Insight Partners, the Qatar Investment Authority, Tiger Global, the Oxford Endowment Fund, and another large west coast mutual fund management firm. The company's other existing investors were also among those who took part in this financing round.
In addition to providing a full-stack web platform, Checkout.com also provides payment processing services for major worldwide corporate merchants. This contributes to the company's aim of enabling companies and their communities to succeed in the rapidly expanding digital economy.
Sygnum receives more funding
Sygnum, a digital asset technology group, has raised USD90 million in an oversubscribed Series B funding round led by Sun Hung Kai & Co Limited. Co-investors in the round include prominent blockchain, non-fungible token (NFT), and metaverse gaming companies including Animoca Brands and Wemade, founders of leading decentralized finance (DeFi) protocols, and existing strategic investors such as SBI Holdings and Siam Commercial Bank's digital investment arm, SCB 10X.
Sygnum is valued at $800 million on a post-money basis, according to the round. Additionally, like with all previous fundraising rounds, a big number of workers participated as personal investors during the Series B round as well. These team members have now joined the co-founders, board of directors, and management team as shareholders in the company, and this group continues to own most of the company's stock. The proceeds will be used to speed the development of new institutional-grade Web 3.0 solutions by Sygnum.
Sumeru Equity partners invest in iProov
A growth investment of $70 million in iProov, the world leader in online biometric face identification, was announced by Sumeru Equity Partners, a private equity firm. With its headquarters in Silicon Valley, Sumeru invests in technology startups that have the potential to alter the world, with a special emphasis on assisting enterprises in their expansion into North America. Investment from Sumeru will be used for rapid expansion in the United States and abroad, for accelerating the growth of its global partner network, and maintaining its position at the forefront of technological innovation while hiring qualified employees around the world.
Ecospend and Contis are becoming partners to develop best BaaS products
Ecospend, the top Open Banking technology supplier in the United Kingdom, has announced a partnershipwith Contis, the largest pan-European Banking-as-a-Service (BaaS) provider. Customers may choose from a selection of BaaS products from Contis, including cloud-based, real-time accounts and payments systems. Contis' clients will be able to make account-to-account payments and use account information services (AIS) for financial insights thanks to the integration of Ecospend's 'pay-by-bank' technology.
Customers of Contis will be able to make quick payments across accounts, including holding accounts, allowing them to make immediate withdrawals, refunds, and assure guaranteed deposits. Additionally, an authorization code will be supplied to confirm when payments have settled using Ecospend's technology and to assist clients in managing their accounts. This ensures that no refunds or withdrawals are made before the initial transaction is completed.
Passfort and Trulioo form a global partnership
It was reported that PassFort, a Moody's Analytics firm, has formed an alliance with Trulioo, one of the world's largest identity verification companies. Trulioo and PassFort have formed a partnership to provide regulated businesses with a way to digitally transform their Know Your Customer (KYC) and Know Your Business (KYB) processes, regardless of where the business or their customers are located in the world. PassFort is a global provider of software-as-a-service regulatory technology solutions.
When it comes to financial technology enterprises and their consumers, borders are becoming less significant as the development and consumption of digital financial services increases throughout the world. Organizations seek to attract and onboard clients from a diverse range of geographic locations, and consumers do not want to be restricted to a single nation of origin when accessing financial products.
Judopay in collaboration with Mastercard planned to revolutionize mobile purchases
Judopay, a leading mobile payments provider, has announced that it will collaborate with Mastercard on the development of its Click to Pay solution, which will be SCA compliant (Secure Customer Authentication compliant, which requires two-factor authentication in order to comply with new European Union regulations). Consumers and businesses benefit from Click to Pay, which provides a more convenient and secure guest checkout experience that is backed by intelligent recognition. Because of this, shoppers can check out online without having to physically input their card data every time or store them with numerous retailers, which makes it more convenient and safer.
This solution enables a smooth journey for guest checkouts by allowing customers to pay with ease on a website or app even if they have never visited it before using their Click to Pay account. Tokenization protects card details by allowing payments to be processed without the merchant having access to the customer's personal information.
Enable and IDEA form an exclusive partnership
Enable, a B2B rebate management SaaS provider, partnered with IDEA (the Industry Data Exchange Association), a member-owned data syndication provider whose innovative solutions make the supply chain faster, easier, and more efficient. IDEA is owned by the electrical industry and provides data syndication solutions to the electrical industry. Distributors may now access their manufacturer-authorized product information through Enable, which was previously unavailable. Organizations may develop, manage, and execute rebate agreements promptly and without the need for data transfer thanks to the continually updated product data made accessible by IDEA Connector, which is available 24/7.
Keebo and Experian collaborate to boost financial inclusion
To significantly increase access to credit for millions of underprivileged customers, Keebo, a challenger credit card issuer, has partnered with Experian, a renowned global information services firm. According to a study conducted by Experian last year, nearly 5.2 million people in the United Kingdom are virtually invisible to the financial system because there is insufficient information about their financial track record for organizations to make informed decisions about their financial well-being. Access to mainstream financial institutions is difficult for these "Credit Invisibles," and they sometimes must pay a premium in order to do so.
In the rapidly increasing 'passion economy', Keebo provides support to freelancers, content producers, innovators, and millions of other customers, all of whom fall into the category of 'Credit Invisibles.' To support the economic boom of creators, traditional financial institutions are finding it difficult because many of these customers have limited financial histories on which traditional loan choices are based. Consequently, some artists may be obliged to take out loans at exorbitant – and potentially prohibitive – interest rates to fund their projects. Using non-traditional data sources, such as open banking data, Keebo can provide its consumers with better credit options.
AS Roma’s official prepaid cards from EML Payments and REPX
A prepaid card for the fans of the Italian football team AS Roma has been developed in collaboration with the credit card business EML Payments and the fintech firm REPX. The card will be available to fans across Europe. These cards will be available for purchase through an associated application, which will also allow the team to communicate with and engage with their expanding number of fans and followers. AS ROMA cardholders get access to a world of one-of-a-kind experiences that allow them to engage with their favorite team, including special offers and news about merchandising, tickets, invites to VIP events, and even meetings with their favorite football players.
Paysend strengthens Americas operation with Jairo Riveros as managing director
Paysend, the pioneer in card-to-card payments, announced that Jairo Riveros is becoming a managing director of North America and Latin America. Paysend has been operating in the US since September 2020 and enables citizens to send money to over 100 nations in near real-time without having to visit a bank. Jairo Riveros will be in charge of developing a world-class Fintech team, acquiring new regulatory permits, licenses, and collaboration arrangements across the Americas.
Riveros presently leads Paysend's Office of Strategy Management. Riveros was Head of Market Models and Business Strategies for MasterCard Worldwide and its consulting subsidiary, MasterCard Advisors. He has also worked at Artemis Worldwide, a C-suite consulting business, and Monitor, Deloitte's Financial Services Strategy division. Jairo Riveros formerly led the TIAA Strategic Planning team and AIMCo's Strategy department.
IBM appoints new general manager for EMEA
Ana Paula Assis has been named General Manager of IBM Europe, Middle East, and Africa, according to IBM (NYSE) (EMEA). Marta Martnez Alonso, who has worked with IBM for 19 years, will be replaced. Ms. Assis, a renowned business leader with extensive international experience in strategic business development, transformation, and change management in multicultural environments, will oversee business operations in a region that spans more than 100 countries, driving revenue growth, client satisfaction, and employee engagement.
Ms. Assis has held many senior positions with IBM throughout the course of her 25-year career, including General Manager for the Latin American area, where she achieved steady development and expanded market share. She has also held a number of key corporate positions in both the United States and China.
SmartSearch hires a new CEO
SmartSearch, the premier anti-money laundering company that expanded its operations into the United States last year, announced the hiring of Guy Harrison as its new Chief Executive Officer. Guy Harrison will be responsible for implementing SmartSearch's strategies to achieve further growth.
Harrison is an experienced business leader with a demonstrated track record of building and developing high-growth enterprises in the data, analytics, and technology sectors. Dow Jones, where he was general manager of Dow Jones Risk & Compliance, a market-leading global provider of regulatory compliance and risk management solutions, has hired him as a senior vice president of the company. At IHS Markit, he was formerly the managing director of risk management, regulatory compliance, and compliance solutions. Guy worked as a management consultant for Deloitte for eight years before joining IHS Markit. He began his career as a management consultant at Goldman Sachs.
Nucleus Commercial Finance has a new business development manager now
Nucleus Commercial Finance, the fintech that is transforming the way small and medium-sized enterprises (SMEs) access finance in the UK, announced the appointment of Gurinder Mandir as business development manager for the Midlands, as part of its ongoing efforts to expand its support to businesses across the country. Gurinder comes to Nucleus from Reparo Finance, where he worked as a senior business development manager, where he was in charge of both unsecured and secured loan transactions and transactions. As a business development manager at Clydesdale and Yorkshire Bank, Gurinder brings with him nearly a decade of banking and finance experience, having previously worked as a relationship manager at Barclays, where he managed a portfolio of 200 clients, and at Clydesdale and Yorkshire Bank, where he supported businesses in a variety of industries.
Gurinder will be responsible for developing strong broker connections in the Midlands and educating the broker network on Nucleus' product range and capabilities as part of Nucleus' strategy to drive growth and support for UK small and medium-sized enterprises (SMEs).
Sean Cleary is joining LMAX Group
Earlier this month, LMAX Group, the largest independent provider of institutional execution venues for foreign exchange and cryptocurrency trading, announced the appointment of Sean Cleary as Head of Liquidity Management and Analytics for the Americas. Sean will report to Patrick Bartle, the LMAX Group's Managing Director for the Americas, and will be stationed in New York for the duration of his tenure.
Previously, Sean Cleary worked for market infrastructure firms such as CBOE Worldwide Markets, Currenex, BNP Paribas, and ICAP, where he was responsible for growing and developing global sales teams. Sean will be in charge of liquidity and analytics throughout the LMAX Group product portfolio for all clients in the Americas at the company's headquarters in Boston. Additionally, he will play a key role in the development and implementation of the Group's institutional foreign exchange growth strategy in the area.
Mergers and acquisitions
nCino acquired SimpleNexus and expands cloud-based platform
In addition to the cash consideration of approximately $270 million (excluding transaction expenses), nCino, Inc., a pioneer in cloud banking and digital transformation solutions for the global financial services industry, announced that it has completed its acquisition of SimpleNexus, the leading cloud-based, mobile-first homeownership software company, for a total consideration of approximately 12.76 million shares of nCino common stock and cash consideration of approximately $270 million (excluding transaction expenses).
By acquiring nCino, the company is demonstrating its commitment to revolutionizing the financial services sector via innovation, reputation, and rapid response. The SimpleNexus platform seamlessly integrates the people, systems, and stages of the home-buying process into a single end-to-end experience, allowing loan officers, borrowers, real estate agents, and settlement agents to engage in the homeownership process from any device, anywhere in the world, at any time.
Google acquired cybersecurity startup for $500 million
Google has bought Israel-based Siemplify for $500 million. Although no exact figures were disclosed, it is reported that Google paid $500 million for the Israeli cybersecurity start-up. Google has promised US President Joe Biden to invest in cybersecurity. Given the rise in data breaches and cyber-attacks, the business promised $10 billion over five years. Siemplify delivers security automation and orchestration. 83North and G20 Ventures have invested $58 million in the startup founded by Amos Stern. The company's Google Cloud relationship drew buyers' attention as it was seeking a fresh private round of funding.
Since the coronavirus epidemic in 2020, Google's cloud income has risen to approximately $5 billion. This was ascribed to the move from office to home work. However, it also posed security risks, driving large corporations to invest in cybersecurity technologies. The Siemplify technology will be connected into Google's cloud, laying the groundwork for the forthcoming capabilities.
Delta Capita acquires JDX Consulting
JDX Consulting, a worldwide resource augmentation and domain consulting company, announced that its shareholders have concluded a deal in which JDX would be purchased by Delta Capita Group, a global technology services company. With the acquisition of JDX by Delta Capita, the merged organization will emerge as a dominant player in global managed services and consultancy in capital markets, utilizing its bank as a service infrastructure platform and bank as a service "one bank" infrastructure platform.
In this deal, Prytek is acquiring the Financial Services section of Delta Capita, which is part of a $500 million commitment to speed the development and implementation of a "one bank" infrastructure platform. As a successful worldwide resource augmentation and consultancy firm with its headquarters in the United Kingdom, JDX has given Delta Capita a stronger presence in the United States and Asia-Pacific. The merged company will have a broad product and service offering, as well as a stronger presence in the United Kingdom and the European Union. Clients will benefit from the enhanced global scale across the company's complementary consulting products, as well as its technology and managed services solutions. Delta Capita will generate sales of $130 million and employ more than 1100 professional workers, according to the company.
Bluerunner is now owned by ParentPay Group
Earlier this year, ParentPay Limited, the UK's leading provider of school payment and parental engagement services, announced that it had acquired BlueRunner Solutions Limited, a leader in web and mobile-based meal ordering solutions for schools, contract catering companies, and hospitality establishments. ParentPay's existing food management platform will be enhanced with extra features for meal ordering in elementary schools, as well as rewards, loyalty, and hospitality booking for schools and tertiary education institutions, as a result of the agreement.
A significant addition to the BlueRunner portfolio is a new tablet-based meal ordering and cashless catering product for secondary schools, completing the Group's primary and secondary school meal management solutions. ParentPay's reach into the hotel and corporate catering businesses in the United Kingdom has been expanded as a result of the purchase.