German online lender Kreditech has raised $10.4 million from e-commerce giant Rakuten.
The investment comes out of Rakuten’s newly-launched fintech startup fund. While this funding is relatively small compared to Kreditech last round of funding ($105 million), it implies a new strategic partnership with Rakuten to help build out the business.
Kreditech is an equity firm founded in 2012 that provides credit access to those with little or no credit history using non-traditional data sources and machine learning.
Founder and CEO Alexander Graubner-Müller said in a statement quoted by TechCrunch that “Rakuten invests directly into our mission to improve financial freedom for the underbanked through technology."
Read more: TechCrunch