Berlin-based Mondu, a fintech company that provides a “Buy Now, Pay Later” (BNPL) solution for B2B merchants and marketplaces, announced that it has raised €20M in a debt round of funding from German bank Vereinigte Volksbank Raiffeisenbank.
VVRB is a cooperative bank with over 65,000 members. Its primary areas of interest are the financial and securities industries. The bank is centred in Southern Hesse and Churfranken.
It is not the first time that VVRB has used this form of lending to diversify its credit portfolio. Ralf Magerkurth, VVRB’s CEO, says, “We believe that BNPL for B2B can have a significant impact on SMEs and we were well convinced by the concept the management team presented to us. We are excited to support Mondu’s growth.”
This is Mondu’s first loan, given to a Luxembourg-based SPV and secured by collateral. The company has raised a total of $57M from its Seed and Series A equity round.