Raisin, the pan-European fintech marketplace for savings and investment products, announced that it closed a Series D funding round of $114 million, bringing the total amount raised to $200 million. Raisin also announced that it has brokered more than $11 billion in deposits to 62 partner banks and earned savers $90 million in earned interest.
Existing investors Index Ventures, PayPal, Ribbit Capital and Thrive Capital all participated in the round. The new capital will be put toward strategic acquisitions and further internationalization. Following launches in the Netherlands and the UK last year, Raisin is planning to add at least two additional markets to its platform this year. The Berlin-based fintech with a subsidiary in Manchester will also enlarge its international team and extend its line of investment products.
Through partnership with 62 banks, Raisin has created the leading pan-European marketplace in retail banking. With Raisin, customers can choose savings and investment products from banks across the continent, and banks can easily attract deposits from customers abroad. Raisin’s seven platforms connect partner banks – including Belgium’s biggest bank KBC, ICICI Bank UK and the German digital banking as a service platform solarisBank – with more than 160,000 Raisin customers from 31 different European countries.
Tearing down walls: Raisin creates the ‘Schengen experience’ for banking
Raisin’s success story is one of disruptive market innovation delivering greater transparency, fewer hurdles and above all higher interest rates to customers across Europe, and all during a phase of notably low rates. The new infusion of capital enables the fintech to strengthen its position as preeminent online platform providing Europeans with the single financial market for savings.
Raisin CEO and co-founder Dr. Tamaz Georgadze stressed: “We want to break through unnecessary barriers to profitable saving and share the benefits of open markets – with both consumers and banks. Our central aim is to give savers and financial institutions the ‘Schengen experience’ for banking. Our first five years demonstrate that, indeed, Raisin stands for the saving and investing of the future.”
Deposits as a service: Raisin’s business model changes the banking market
With a ‘Deposits as a Service’ business model, Raisin offers banks access to flexible liquidity. In addition to its seven platforms, Raisin has built significant open banking partnerships this past year with banks like o2 Banking of Telefónica in Germany. With additional partners such as N26 and the Dutch BinckBank, Raisin implemented fully-integrated savings marketplace solutions, enabling the banks to offer their own customers a one-stop-shop portfolio with better investment opportunities, selected from Raisin’s more than 250 savings products. The customer experience for savers is convenient and user-friendly — and strengthens the relationship to their primary bank.
“Raisin has realized its vision of a single market for savings and investment products. Using their Raisin account, people can choose savings and investment products among hundreds of offers from dozens of institutions in multiple countries and invest instantly with a few clicks. We’re excited to continue to support Raisin on its quest to create Europe’s leading destination for savers and retail investors alike,” commented Neil Rimer, Partner at Index Ventures.