Israeli FinTech Rewire closed a $20m Series B funding round led by crowdfunding platform OurCrowd to expand its cross-border international banking service for migrant workers.
The round saw participation from Renegade Partners, Glilot Capital Partners and Jerry Yang, former Yahoo! CEO and director at Alibaba along with the firm’s existing investors including Viola Fintech, BNP Paribas’ venture capital fund Opera Tech Ventures, Moneta Capital and private angel investors.
In addition to the investment new, Rewire also collaborated with Israel’s Bank Hapoalim which is providing it with a $10m line of credit to finance the company’s growth.
With an aim to scale its financial services and platform, the new capital will enable the Tel Aviv-based firm to enhance its product portfolio as well as form strategic partnerships in various countries.
The digital bank, which provides digital financial tools such as remittance, payment accounts and debit cards for migrants, plans to add bill payments, insurance, credit and loan services, investments, and savings to its platform, therefore, creating a complete financial platform.
Highlighting the financial challenges facing migrants, CEO of Rewire Guy Kashtan said, “We aim to create financial inclusion. Everything that we do at Rewire is aimed to help migrants to build a more financially secure future for themselves and their families.
“To do so, we aim to provide services that go beyond traditional banking services such as insurance payments in the migrant’s home country and savings accounts.”
Rewire recently received an EU Electronic Money Institution license from the Dutch Central Bank which allows the FinTech startup to operate as a digital bank and offer services such as payment remittance and issue electronic money.
Claiming to have processed $500m through its systems, Rewire tripled its customer base in 2020 with 40% attributed to organic growth and aims to reach half a million registered users in 2021.
The neobank has established partnerships with financial institutions in multiple countries such as UkrSibbank in Ukraine and mobile wallet enablers in Nigeria and the Philippines. Rewire offers its cross-border solution in eight different languages via its localised app.
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