Brite Payments, a Stockholm-based fintech specialising in instant bank payments, has today announced the raise of $60 million in a new funding round. The Swedish company intends to use the investment to press forward with new market entries in tandem with strengthening its position in some 25 existing markets.
As highlighted in our September 2023 report, investors are cooling to fintech investments, with the sector losing its traditional top slot in terms of fiscal values for the second month in a row. With that in mind, Brite’s announcement indicates that lead investor Dawn Capital and participants Headline and existing investor Incore are seeing something special in this fintech in particular.
Perhaps mirroring the trend of declining VC money and the rise of PE funding, one that traditionally eschews the ‘growth at all costs’ mentality in favour of the bottom line, Brite’s $60 million arrives on the back of 2022 which saw the company more than double its transaction volume and revenues and reach profitability.
The Dawn-led investment aims to help Brite build on this success, most notably being used to further develop the company’s proprietary instant payment network. According to the company, its USP over traditional open banking payments includes the ability to take full receipt of funds and settle them without delay on behalf of merchants, all in the currency of their choice.
Serving a number of industries and verticals where instant bank payments and payouts offer advantages over traditional card-based payments, Brite’s account-to-account (A2A) payments, including instant payments facilitated by open banking, deliver operational cost-savings, a smoother customer experience, reduced fraud risk and elimination of chargebacks.
In so much, according to FIS Global, “A2A payments are projected to grow at 13 percent CAGR through 2026, resulting in a global e-com market size of nearly $850 billion”
Brite Payments founder, CEO, and former Klarna executive, Lena Hackelöer elaborates:
"We see account-to-account payments gaining momentum across Europe, but merchants are still struggling to realise the full potential for their businesses. That's why we've built a complete instant A2A payments and payouts offering that can be plugged into any checkout, while eliminating operational hassles such as settlement accounts, reconciliation, or FX.
“2022 was our breakthrough year, and with this funding round, we're ready to accelerate our growth and bring Brite to more markets and checkouts across Europe."
Lead image: Lena Hackelöer. Photo: Uncredited.