Berlin-based cyber insurance platform Baobab has scored €3m from UK-listed FinTech fund Augmentum.
According to Finextra, this is Augmentum’s first investment in the InsurTech space and its second in Germany following an investment in Gover.
Baobab helps small and medium businesses manage cyber risks by combining cyber insurance and security measures.
Augmentum’s FinTech portfolio now comprises 25 private companies and includes the likes of Tide, Zopa and Anyfin.
Augmentum FinTech CEO Tim Levene said, “We are pleased to lead Baobab’s new investment round. We have strong conviction that new risks are driving opportunities in insurtech and cyber represents a fast growing and underpenetrated market.
“The team demonstrates strong execution capabilities in developing a solid product, building out a rapidly expanding network of broker partners across Germany and have secured backing from a leading tier one capacity provider in Zurich.”
Levene believes the portfolio continues to provide significant growth potential and the top five portfolio companies have an average year-over-year revenue growth rate of 102%.
The funds will allow the company to expand its platform and extend the reach of its services to more customers. It hopes to expand its direct-to-consumer channel and its checkout integration for merchants, Raylo Pay.
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