Swedish fintech firm Tink has raised €90m as it plans further European expansion and to develop new products.
The eight-year-old business – which provides the digital plumbing that powers over 2,500 banks and financial firms ranging from PayPal, Karna and NatWest – said the cash call was its largest investment to date.
The funding round was led by London venture capital business Dawn Capital and San Francisco-based investment management firm HMI Capital. Existing investors also taking part in the round include ABN Amro Ventures and BNP Paribas’ venture arm.
Regulators hope this integration will boost competition by making it easier for customers to compare financial products and switch between them.
The European Union has forced banks to share customer data with other approved financial services firms since January 2019, as long consumers gave their permission.
Stockholm-based Tink operates across 14 European markets – including the UK, Germany, Spain, Italy and Portugal – reaching over 250 million customers.
Tink co-founder and chief executive Daniel Kjellén (pictured) said: “During 2020 we are committed to building out our platform with more bank connections and, on top of that, expanding our product offering.
“Our aim is to become the preferred pan-European provider of digital banking services and to offer the technology needed for banks, fintechs and start-ups to leverage the opportunities of open banking and enable them to successfully develop financial services of the future.”
From analogue to digital
Dawn Capital general partner Josh Bell added: “As the world of banking undergoes a fundamental shift, from analogue to digital and from closed to open, banks and financial services require a new set of technical foundations on which to build a winning product strategy for the coming decades.”
Tink, founded in 2012, employs more than 270 staff across 12 European offices.
This investment follows a €56m series C funding round last February, which was led by US venture capital firm Insight Venture Partners, Christian Clausen, a former chairman of the European Banking Federation, and Revolut founder Nikolay Storonsky.