Tink raises €85 million
Stockholm-based open banking platform Tink announced that it has raised €85 million in a round co-led by new investor Eurazeo Growth and Dawn Capital, with PayPal Ventures, HMI Capital, Heartcore, ABN AMRO Ventures, Poste Italiane and BNP Paribas’ venture arm, Opera Tech Ventures, also participating. The company plans to use the capital to double down on expanding its network of banks and payment services in Europe.
Founded in 2012 and a team of ~350, Tink is currently live in Sweden, UK, France, Spain, Germany, Italy, Portugal, Denmark, Finland, Norway, Belgium, Austria and the Netherlands. Through one API, Tink allows customers to access aggregated financial data, initiate payments, enrich transactions and build personal finance management tools. The startup’s platform, which is used by over 300 banks and fintechs, includes companies such as PayPal, NatWest, ABN AMRO, BNP Paribas, Nordea and SEB – and is also used by more than 8,000 developers. Tink has an annual recurring revenue of €30 million.
Today, Tink processes close to 1 million payment transactions per month in five markets, for clients including digital mailbox provider Kivra, used by close to 4 million adults in Sweden, and payment fintech Lydia, used by more than 5 million customers in France. Tink aims to make its payment initiation services live in 10 markets in 2021.
“Despite the difficulties of 2020, it was a year of great growth for Tink. We significantly built out our bank connections across Europe, increasing coverage from 2,500 to 3,400 banks, and now serve more than 300 world-leading financial institutions. We also doubled the fintech users on our platform to 8,000 and increased employees from 250 to 365, in 13 offices across Europe. 2020 has seen payments powered by open banking take-off, and in 2021 we expect to see this scale – most prominently in the UK, followed by Europe. This funding extension will further facilitate the development of our payment initiation services across Europe, while continuing to deliver new data-products built on open banking technology to our customers.” – Daniel Kjellén, co-founder and CEO of Tink.
“The open banking movement continues to pick up pace, with 2021 showing every sign that it will bring increased collaboration between fintechs and large enterprises, who want to take digitally enabled services to their customers with a tried and trusted partner. Since its inception eight years ago, Tink has proven itself to be the leading open banking platform in Europe, and our investment underlines the confidence we and the industry have in Tink and open banking. We look forward to supporting them on their continued journey.” – Zoé Fabian, Managing Director of Eurazeo Growth.
“Tink has truly emerged as Europe’s leading open banking platform and is quickly becoming a key strategic piece of financial technology infrastructure. We have seen activity across Tink’s network rapidly accelerate this year, with increasing adoption and implementation of open banking products and services across their platform. We are delighted to support Tink’s latest funding round, and look forward to working with the team across 2021 to expand the breadth and depth of its already considerable network of banks, accelerate the rollout of its account-to-account payments initiation solutions, and continue to deliver exceptional value to its fast-growing customer base.” – Josh Bell, General Partner of Dawn.