Embedded banking — used by companies that do not build financial products like credit, payments or deposits from the ground up but want to offer those services to their customers to grow revenues — has been on a big growth tear in the last several years, and today one of the bigger players building finance as a service tools like these and others is announcing a round of funding to continue its growth.
Noble today emerged from stealth and announced the close of a $15 million Series A round led by Insight Partners with participation from Cross River Digital Ventures, Plug & Play Ventures, Y Combinator, Flexport Fund, TLV Partners, Operator Partners, Verissimo Ventures, Interplay Ventures and the George Kaiser Family Foundation.
The fourth fund will continue to focus on early-stage investments in enterprise software and deep tech, such as open source software, machine learning, quantum computing startups, finance, education and healthcare. Founded by the teams behind the Acronis and Parallels software companies, Runa Capital has so far more than 100 early-stage investments in Europe and North America. The first investments of the new fund include Barcelona-based embedded finance provider Hubuc and Paris-based open source enterprise software developer OpenReplay. Technology entrepreneur Serguei Beloussov (who has since taken the name Serg Bell and Singaporean citizenship) co-founded Runa after starting Acronis, and has since gone on to also establish the Acronis Cyber Foundation, which has partnered with UNICEF, built schools and educated migrants to Switzerland.
Pakistan embedded finance platform Neem has raised $2.5 million in a seed funding round as it works to support underbanked communities in the country.
Solid, which rebranded from Wise in 2021, raised a $63 million Series B round of funding to continue providing its fintech-as-a-service offering for companies wanting to launch and scale their own fintech products.
The gap that Kenya’s embedded finance fintech Pezesha seeks to bridge as it expands into Nigeria, Rwanda and Francophone Africa following a $11 million pre-Series A equity-debt round led by Women’s World Banking Capital Partners II with participation from Verdant Frontiers Fintech Fund, cFund and Cardano blockchain builder Input Output Global (IOG).
Anchor claims to be transacting several millions of dollars while growing 200% month-on-month. After testing these features with a select few, Anchor is coming out of stealth with a $1 million+ pre-seed and making its platform public.
Enter Deposits, a Dallas-based finance startup offering a cloud-based, plug-and-play feature to simplify the implementation of digital banking tools for companies like credit unions, community banks, insurers, retailers and brands.
ImaliPay’s pilot was based on Furusa’s encounter: a buy now, pay later (BNPL) fuel product, but for two-wheeler gig platforms as the company partnered with a few fuel stations in Ibadan, Nigeria to offer this service to SafeBoda riders.
Grover has been on a steady pace of growth in the last several years — CEO and founder Michael Cassau said that across its footprint of Germany, Austria, the Netherlands, Spain and most recently the U.S., Grover doubled subscriptions and business in the last year, and it currently has half a million items in its catalog available for subscription, 2 million registered users and 250,000 active customers.
Dapio’s launch is a sign of where the U.K. payments scene is currently — where contactless payments aided by NFC technology have exploded, making up a quarter of all payments in the country.
The latest round marks the third time that a16z has put money in Cross River Bank, with the first time being in the company’s first institutional round that closed in October of 2016 — a $28 million financing which ended up closing at $30 million as others added to it.
The story begins years ago when Root wanted to build new kinds of banking services. Co-founder and CEO Nick Root is a computer science graduate and former CTO, COO, CFO and CEO who did 12 years in the London banking industry before starting Intergiro.
This data is analyzed to provide businesses with support ranging from tailored recommendations, reports through daily business tips, monthly business seminars and access to an on-demand business coach.
The funding will be used to continue growing GPS’s business — which includes a range of fintech services such as payments, direct debits, and standing orders; virtual cards; mobile wallets; fraud prevention; expense management; cryptocurrency management; BNPL and more.