UK-Based Premium Financing Provider PremFina Thanks Investors Post $36M Round
Rakuten Capital, the investment arm of Japan’s Rakuten, a global leader in e-commerce and fintech services and the main global partner of FC Barcelona and the UK’s Draper Esprit Plc led the financing, and were joined by global investors Thomvest Ventures, Emery Capital, Rubicon Venture Capital, Talis Capital and the company’s founder.
PremFina is the first premium finance company in the UK to receive venture funding, with the equity portion of round more than three times oversubscribed. The investment will be used to accelerate PremFina’s UK operations to meet a high demand for its white-label premium financing solution among insurance brokers and support international expansion. Its white label offering improves brokers’ efficiency, profitability and customer relationships.
PremFina makes the purchase of insurance more affordable by eliminating the financial strain of lump-sum upfront payments. It upfront payment of an insurance premium, on behalf of an insured party, to later collect the same amount via monthly installments, along with a finance fee, from the insured. This allows insurance brokers to offer flexible payment options to customers.
“The participation of outstanding investors from Toronto to Tokyo in our oversubscribed round highlights the vast opportunity ahead for PremFina. Our new investors bring great strategic value and priceless global financial relationships” – founder and CEO Bundeep Singh Rangar, who invested in 17% of the equity portion alongside the institutional investors.