FinTech sector drops this week with only 24 deals

September 29, 2023

This week saw the FinTech sector flounder compared to seven days ago, as the space failed to meet the $1bn mark in deals completed.

Despite this drop in incoming capital, on top of seven fewer deals being completed, the sector still had some major investment to write home about. AlphaSense bagged the deal of the week, with a whopping $150m secured in the company’s Series E funding round, as it looks to affirm its position as a preeminent figure in the market intelligence and search domain space.

Joining them in the elusive and exclusive nine-figure club was US PayTech Flex, who is looking to revolutionise SMB finance after completing its $120m Series A debt and equity funding round. As well as Lithuanian RegTech firm, Nord Security, who garnered a $100m investment from Warburg Pincus, as they look to to broaden its product range and fast-track growth via strategic collaborations and acquisitions.

Geographically, the US and the UK reclaimed their positions at the top of the charts. The States secured 13 deals, ahead of the UK’s five to continue their monopolisation of the FinTech deal stats. No other nation secured more than the solitary deal – but there was significant representation globally, as Germany, Singapore, Canada, India, Kenya, Lithuania, and Switzerland all landed a key deal.

In the sector stakes, FinTech bagged a mammoth 12 deals to take half of the capital in. But behind them it was a well fought scrap for the honour of being this week’s bridesmaid. Both WealthTech and CyberTech eventually had to share the spoils, landing four deals each, while RegTech and PayTach only secured two deals each.

Here are this week’s deals:

AlphaSense’s AI-driven market prowess leads to $150m Series E funding

AlphaSense, recognised as a frontrunner in the market intelligence and search domain, has unveiled its latest financial figures.

The company successfully amassed $150m in its Series E funding initiative. The round saw active participation from BOND as the lead investor, with significant contributions from previous backers such as Alphabet’s CapitalG, Viking Global Investors, and Goldman Sachs. Following this round, AlphaSense’s market valuation has surged to an impressive $2.5bn.

Since its inception in 2011, AlphaSense has emerged as a prominent market intelligence and search platform, trusted by the world’s leading companies and financial institutions. By leveraging advanced AI technology, it offers professionals crucial insights gathered from an array of public and private content sources, ranging from equity research and company filings to event transcripts and expert discussions.

Flex bags $120m in debt and equity funding to revolutionise SMB finance

Flex, the innovative financial technology firm, has announced the successful completion of its $120m Series A debt and equity funding round.

The funding comprises a substantial debt financing agreement with CIM to provide up to $100m, while the remaining $20m is in equity capital.

The equity capital injection was spearheaded by Florida Funders, with significant involvement from Home Depot Ventures, MS&AD Ventures, Companyon Ventures, among other participants.

Nord Security strengthens cybersecurity hold with $100m investment

Nord Security, a global leader in internet privacy and security solutions, has secured a $100m investment.

The substantial funding round has come from Warburg Pincus, a premier global growth investor. Other noteworthy participants in this round include Novator Ventures and Burda Principal Investments.

Delving into its operations, Nord Security has transformed how users perceive and interface with digital security. The company offers a comprehensive security tool that shields online traffic, sends out breach alerts, combats malicious software downloads, and provides support in being removed from data broker lists.

Luge Capital’s fund attracts $71m with sights on global FinTech disruption

Luge Capital, an investment firm focused on the FinTech sector in North America, has secured CA$71m in the inaugural close of its Luge Capital Fund II.

The firm’s vision for this fund is to reach the pinnacle of a $100m total size.

The substantial capital accrued in the first close came from a mix of returning heavyweights such as CDPQ, Desjardins, BDC Capital, Sun Life, iA, Fonds de solidarité FTQ and the addition of a fresh participant, Inovia Discovery Fund I.

Bengaluru-based FinTech Bright Money secures $62m

Bright Money, a consumer FinTech firm, has announced a successful closure of its latest funding round, amassing an impressive $62m.

This significant financial boost for the Bengaluru and San Francisco-based enterprise consists of $50m debt from Encina Lender Finance, supplemented by $12m equity investments championed by Alpha Wave, Hummingbird, and Peak XV Partners, according to a report from Entrackr.

Enza Capital closes impressive $58m funding, debuts innovative founder partner programme

Enza Capital, an African-based venture capital firm, has successfully closed a significant amount of $58m spread across two investment funds.

The dynamic venture capital firm announced it had secured an impressive $58m, pooling these funds from an assortment of investors ranging from private individuals, family offices, and foundations, to fund of funds, hedge funds, and other venture capital funds.

Established to revolutionise the startup ecosystem in Africa, Enza Capital’s mission revolves around identifying and supporting category-defining startups in their early stages, primarily those in pre-seed and seed phases.

Berlin’s Jokr nabs $50m to bolster Latin American rapid-delivery reach

Jokr, the Berlin-based rapid-delivery firm, has successfully notable $50m in a Series D funding round, aiming to amplify its presence in the thriving Latin American online grocery sector.

The prominent investment round was spearheaded by Convivialité Ventures, with the post-money valuation of Jokr climbing to an impressive $800m, according to a report from FinSMEs.

Notably, the funding attracted a consortium of investors: Lombard Odier, G Squared, GGV, Balderton Capital, Monashees, Greycroft, and Tiger Global.

Mexico’s albo receives $40m in Series C funds, striving for neobank profitability

Mexican neobank, albo, has proudly announced its latest accomplishment of closing a growth funding round worth $40m.

The recent infusion was spearheaded by United States-based Morpheus Ventures. The funding round also witnessed significant backing from former supporters like the US-based Valar Ventures and Mexico’s own Nazca Ventures. This fund collection serves as a landmark achievement in albo’s development.

B2B payment platform Slope announces $30m investment round.

Slope, a company focused on revolutionising the B2B payment landscape, has successfully announced its latest funding round.

The recent funding round saw Slope raise $30m, with the lead investment from Union Square Ventures and significant backing from OpenAI’s Sam Altman.

Slope’s origin was deeply personal, stemming from the founders’ first-hand experiences with traditional B2B payment inefficiencies in Brazil.

Lumu Technologies bags $30m in Series B for cybersecurity boost

Lumu Technologies, a cybersecurity innovator, is buzzing with excitement as they unveil their $30m Series B funding coup. This round was spearheaded by Forgepoint Capital, demonstrating robust investor confidence in Lumu’s vision and operational prowess.

Raising $30m in this funding phase, Lumu’s Series B is testament to their growing influence in the cybersecurity domain. Forgepoint Capital led the charge, with influential backers like BIP Ventures, Exceptional Capital, and SIMMA Capital also throwing their weight behind Lumu.

Gem Security snags $23m in capital for cloud threat detection tech

Gem Security, an Israeli startup with operations in New York, recently secured a substantial amount of $23m in venture capital.

This technology company stands out in the bustling realm of cloud threat detection and incident response.

The $23m Series A funding round was spearheaded by GGV Capital. Notably, Team8, previously a leader in Gem Security’s seed funding round, has chosen to take an equity position this time as well, joining forces with the likes of IBM Ventures and Silicon Valley CISO Investments (SVCI).

Traydstream lands $21m in Series B for trade document automation

Traydstream, an automated trade document checking platform, has announced the completion of a $21m Series B funding round.

The funding was spearheaded by US-based FinTech investment firm Pivot Investment Partners and e& capital.

Specialising in the field of trade finance, Traydstream leverages machine learning to digitise trade documents. Their innovative software automates the trade and compliance checking processes. Renowned clients of the firm include names such as Detusche Bank, Standard Bank, and Mitsui.

Open banking champion PortX clinches $16.5m in Series B investment

PortX, described as a vanguard in integration and open banking for community financial institutions and fintechs, has bagged $16.5m

The firm garnered $16.5m, a sum co-orchestrated by FUSE, a notable venture capital name from the Pacific Northwest, and Curql, a group of avant-garde credit unions. Also rallying behind PortX’s vision were BankTech Ventures, EJF Capital, and the Btech Consortium, notable investment groups catering to nearly 200 community financial institutions.

Apron seeks to revolutionise invoice management with $15m funding

Apron, the FinTech platform, has recently successfully garnered $15m in its latest Series A funding round.

The initiative aims to significantly reduce the amount of time small businesses and accountants dedicate to invoice processing.

The impressive funding haul was spearheaded by Index Ventures, closely followed by esteemed investors Bessemer Venture Partners and Visionaries Club.

Vali Cyber earns $15m seed fund to amplify Linux cybersecurity

Vali Cyber, described as a future-focused provider of Linux cybersecurity solutions, is celebrating the closure of its seed funding round. The firm successfully secured a noteworthy $15m.

This funding initiative was championed by Grotech Ventures and the 412 Venture Fund (412VF). Alongside these major contributors, the endeavour witnessed robust backing from Riverfront Ventures, Florida Funders, and several other strategic investors. This significant infusion of capital underscores the urgency of tailoring security measures specifically for gadgets powered by the Linux® operating system.

Aliya Capital Partners champions $12m Series A for Collective Liquidity

Collective Liquidity, a firm that offers financial tools to unicorn shareholders, has concluded its extended Series A financing round.

The latest funding brings the total amount raised in the Series A round to approximately $12m, with Aliya Capital Partners leading the charge.

Collective Liquidity’s primary function is to facilitate employees in reducing their risk from having an over-concentration in a single company’s shares.

FinTech Timeline clinches £10m Series B funding

Timeline, an end-to-end financial planning platform, has proudly announced its recent accomplishments in the finance industry.

The company successfully raised £10m in its Series B funding round. The round was led by Blackfin Capital Partners, a private investment firm specialising in FinTech. Other notable participants included MTech Capital, board member of Peel Hunt, Darren Carter, and former CEO of Interactive Investor, Adam Seale.

Mintago’s financial wellness drive receives $4.75m backing

Mintago, a UK-based financial wellbeing startup, has successfully completed its recent fundraising effort, obtaining a total of $4.75m.

The funding injection saw contributions from an array of investors including BlackLion Ventures, contributing a substantial $3.75m as the lead investor. Other notable investors in this round were Love Ventures and Cur8 Capital.

Pontoro’s tech platform snares $4.6m in seed II funding round

Pontoro, the FinTech firm, today revealed its successful accumulation of $4.6m during its Seed II fundraising endeavour.

The funding round, oversubscribed and reflecting a notable appreciation in the company’s valuation, was led by Ulu Ventures and saw contributions from Illuminate Financial, Nevcaut Ventures, W11 Capital, among others.

Pontoro is at the forefront of financial innovation, crafting a unique and structurally distinct platform. This development aims to increase accessibility to high-quality private market real assets, ushering in a new era for institutional investments.

Crediverso clinches $3.5m to democratise legal access for underserved groups

Crediverso, the bilingual consumer tech platform focusing on providing financial and educational resources to overlooked communities, today disclosed the receipt of an impressive $3.5m in a pre-series A investment round.

Notably, this round saw significant backing from renowned investors like Torch Capital and Gaingels. In a nod to Crediverso’s growing traction, earlier investors like Bessemer Venture Partners and Act One Ventures also threw their weight behind this round. Cumulatively, the firm has amassed an investment portfolio of $6.6m to date.

Data security pioneer Tune Insight bags $3.4m in seed funding round

Tune Insight, the forward-thinking company, is transforming how businesses interact with sensitive data, ensuring that this crucial information stays protected while allowing companies to fully exploit their data and models.

This game-changing approach not only ensures optimal security but also envisions a profitable future for data collaboration.

The firm recently celebrated a successful funding round, raising a significant $3.4m. This financial backing came from an array of investors, with 14Peaks Capital leading the charge, followed by Inflection.xyz, Debiopharm, and Zurich Cantonal Bank. Existing investor, Wingman Ventures, also chipped in.

Cyber risk pioneer Cypherleak secures $750,000 in seed funding

Cypherleak, a trailblazing cyber risk monitoring and scoring startup, has garnered an impressive $750,000 seed round. The financial backing came from prominent investors based in Abu Dhabi, Morocco, and Qatar.

The seed round, which saw participation from entities such as Maroc Numeric Fund II and Qatar Insurance Company, is set to fuel Cypherleak’s ambitious expansion plans across the Middle East and Africa.

Keep up with all the latest FinTech news here.