Riga, Latvia-based consumer lending startup Creamfinance has raised €21m in new funding.
The Series B round comes from Capitec Bank, a subsidiary of South African stock exchange-listed Capitec.
Creamfinance uses data and credit intelligence to quickly assess customers for loans. Its lending products include microloans, instalment loans and credit lines.
The company currently operates across Poland, Latvia, Czech Republic, Georgia, Denmark and Mexico.
The new capital will be used to fuel expansion into new markets and expand its product portfolio in existing regions.
Creamfinance CEO and co-founder Matiss Ansviesulis said: “We are excited about this investment from a leading bank that, like ourselves, emphasizes technology and operational efficiency and the acknowledgements of our ability to scale fast.
“This investment also marks a potential new beginning in FinTech and banks’ cooperation, especially since so many hold opposing views.”
Capitec will nominate two directors to the company’s board as a result of the deal and the firm’s CEO Gerrie Fourie commented: “Given their expansion and focus on operational excellence, Creamfinance has emerged as a leading personal finance provider in Europe.
“We are impressed by Creamfinance’s focus on Smart Data scoring and its business model which was developed in such a way that new countries can be entered swiftly and efficiently, requiring limited investment in local infrastructure”.
The new funding follows the €5m Series A round the company previously raised form Flint Capital.
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