Novicap, a European FinTech providing end-to-end working capital solutions, has raised a €200m debt facility from Fasanara Capital.
According to Novicap, the capital raise, which enables the company to further accelerate its growth and deliver more impact for thousands of SMEs, mid-market firms and public administrations, will be used to bolster its credit portfolio and support the development of new market-leading solutions for its customer base.
The funding comes at a time when Novicap’s technology platform has exceeded the €1bn milestone in transaction volume as of Q3 2022, and follows the firm being listed as one of the 1,000 fastest-growing European companies, according to the Financial Times and Statista, for the third year in a row.
The new funding agreement with Fasanara implies an additional capacity of over €1bn of financing volume per year for Novicap.
It also reinforces Novicap’s message to its target customer segments that while the traditional banking sector may be tightening credit availability in today’s market environment, Novicap’s technology-enabled credit solutions are a reliable alternative.
Fasanara originally began purchasing receivables via Novicap in 2017. Over the past five years, Fasanara has progressively increased its participation to become one of Novicap’s leading credit funders.
Novicap CEO Lois Duhourcau said, “Building on the relationship developed over many years, this new funding agreement is a major step in the scale up of our credit solutions. Fasanara Capital is a pioneer in our asset class, and counting on their support in today’s markets is an invaluable asset.
“Together with the resources we have been adding to our SaaS solutions, this places us in an ideal position to help SMEs, mid-market corporates and public administrations manage their working capital.”
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