Berlin-based Raisin, a pan-European fintech marketplace for savings and investment products, announced on Thursday, March 23, that it has secured €60M in a Series E round of funding.
The company reached the one million customers mark recently, and claims it generated interest of €850M for them since its inception in 2012.
Raisin also claims to have been profitable for half a year and currently manages a total of €38B in Assets Under Management (AuM) for customers globally. In the past 6 months, its AuM has grown by more than 30 per cent.
Investors in this round
The investment came from existing and new investors. The two new investors include a global financial services institution and M&G’s Catalyst, a $6B purpose-led global private assets strategy. Existing investors include Goldman Sachs.
Niranjan Sirdeshpande, Head of Global Investments for M&G Catalyst, says, “We are excited to be supporting Raisin’s impressive growth story as they seek to improve outcomes for savers of all ages across Europe, the UK and the US and reduce barriers and inefficiencies in the financial system.”
Raisin’s existing investors also include btov Ventures, Deutsche Bank, Greycroft, Headline, Index Ventures, Kinnevik, Latitude Ventures, Orange Ventures, PayPal Ventures, Thrive Capital, Top Tier Capital Partners, Ribbit Capital, and Vitruvian Partners.
Raisin: Everything you need to know
Founded in 2012 by Dr Tamaz Georgadze, Dr Frank Freund and Michael Stephan, Raisin offers the framework to democratise the global deposit, investment, and pension markets, benefiting both individuals and financial organisations.
The fintech company started by opening the $95T+ deposits and investments market of the European Union, the UK and the US to consumers. Currently, it serves more than one million users in these three markets.
The Raisin network connects savers and financial institutions to its markets in Europe and the US. Financial organisations can also tap into the company’s ecosystem to set up their own marketplaces or transform their companies into Banking-as-a-Service options through Raisin Bank and Raisin Technology.
Raisin also operates its own B2C marketplaces in Europe under the brands Raisin, WeltSparen and ZINSPILOT, and in the US under the SaveBetter brand.
In Germany, the company offers ETF-based investment and retirement products and Private Equity and Crypto investments in addition to savings products.
Capital utilisation
Raisin says it is in demand from users looking for competitive savings rates and from banks looking for appealing retail funding sources.
The raised capital will be used in accelerating growth in developing markets like the US, where Raisin entered in 2020 and added more than $1B AuM in 2022 alone.
The company now aims to increase consumer access to simple and convenient products by investing in new features, even simpler processes, and broader accessibility.
Dr Frank Freund says, “With the new commitment, we will be better positioned to bring value to even more consumers and partners. We are thrilled that we can thereby make a valuable contribution to the functioning and the efficiency of the financial market.”
About M&G
M&G Investments is part of M&G plc, a savings and investment business with over $400B in AUM. The firm has customers in the UK, Europe, the Americas and Asia, including individual savers and investors, life insurance policy-holders and pension scheme members.
For nearly nine decades, M&G Investments has helped customers by putting investments to work, which in turn creates jobs, homes and vital infrastructure in the real economy.
Its investment solutions span equities, fixed income, multi-asset, cash, private debt, infrastructure, and real estate.
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