HSBC and Tradeshift embark on $35m joint venture to enhance embedded finance


HSBC and Tradeshift, a renowned B2B FinTech company, have recently joined forces in an announcement made today.

Their collaboration aims to launch a jointly-owned business focusing on the development of embedded finance solutions and financial services apps.

As part of this collaboration, HSBC will make a $35m investment into Tradeshift in two stages, joining its board. The overall funding round, which includes HSBC’s investment, is expected to raise at least $70m.

This joint venture between HSBC and Tradeshift will enable the deployment of various digital solutions across Tradeshift and other platforms. The scope will include payment and FinTech services embedded into trade, e-commerce, and marketplace experiences. This partnership aims to help Tradeshift scale its business commerce proposition around the world.

The new funds will be utilized to enable Tradeshift to expand its global commerce network and bolster the development of world-class technology. More specific details about the joint venture will be revealed ahead of its planned launch in early 2024.

HSBC, supporting around 1.3 million businesses and overseeing over $800bn of annual trade flows, is the world’s largest trade bank. Tradeshift’s platform supports over $260bn of annual gross merchandise value, catering to a million business users.

Global Commercial Banking CEO at HSBC Barry O’Byrne said, “Enabling and growing global trade has been in HSBC’s DNA for almost 160 years. We are very excited to partner with Tradeshift to help businesses and their suppliers trade more smoothly using world-class technology and solutions that the joint venture will deliver.”

Meanwhile, CEO and Co-founder of Tradeshift Christian Lanng expressed, “The world’s biggest trade bank and the world’s largest trade network are joining forces. Our deepening partnership with HSBC delivers a strong foundation from which to scale and accelerate our vision of a trade network that creates economic opportunity for businesses everywhere.”

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