Greetings from TechCrunch Fintech!
In this week’s edition, we dive into the turmoil surrounding fintech company Bench, Robinhood’s settlement of $45 million, a few notable mergers and acquisitions, exciting fundraising announcements, and much more.
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Key Developments
Following the unexpected closure of accounting startup Bench on December 27 and its subsequent acquisition by Employer.com, many customers are discovering the difficulties in retrieving their financial data. Dissatisfaction is brewing among users as Bench asserts that the only method for them to access their data is by granting Employer.com the required permissions, since the only entity that once held that information is now in bankruptcy and no longer operational.
Financial Highlights
Float Financial, a startup specializing in expense management and corporate cards in Canada, has successfully secured $50 million in a Series B funding round. The Toronto-based fintech positions itself alongside its American peers, Brex and Ramp, but emphasizes its dedication solely to supporting Canadian small and medium-sized businesses.
At just 24 years old, Pryce Yebesi has already experienced a successful exit after selling his crypto invoicing company, Utopia Labs, to Coinbase for an undisclosed amount. Recently, Yebesi unveiled his new venture, Open Ledger, which integrates automated accounting solutions into the tools businesses and enterprises already utilize. He has raised $3 million in a funding round led by Kindred Ventures and Blank Ventures.
NomuPay, which specializes in facilitating cross-border transactions for merchants in Asia and the Middle East, has secured $37 million at a $200 million valuation to further its expansion.
Moody’s has announced its acquisition of Cape Analytics, a startup focused on geospatial AI, for an undisclosed price.
Clearwater Analytics has agreed to acquire investment management platform Enfusion for $1.5 billion, adding to its development of tools for accounting, compliance, and risk reporting targeted at asset managers.
Additional Insights
Robinhood is set to pay $45 million to settle an SEC investigation concerning multiple alleged infractions, including one linked to a hacking incident from 2021.
As digital payments evolve into key strategic assets, India is setting an example for other countries looking to lessen their reliance on Western payment systems like Visa and Mastercard.
Groww, the leading retail stockbroker in India, aims to launch an IPO in the next 10 to 12 months, targeting a valuation between $6 billion and $8 billion, according to industry sources close to the situation.
Notable Headlines
In the realm of HR software, Buk, a human resources software provider based in Santiago, Chile, secured $50 million in a Series B funding round, achieving a valuation around $850 million, up from the $417 million valuation it reached in 2021.
Toronto’s Humi has been acquired by Australian HR software firm Employment Hero, which aims to establish a presence in the Canadian market.
Fintech powerhouse Plaid has revealed plans to open a new office in Raleigh, North Carolina. With its headquarters in San Francisco, Plaid now boasts a workforce exceeding 1,000 and has additional offices in locations including New York, Washington, D.C., London, and Amsterdam. A company representative indicated that “Raleigh is the next step in expanding Plaid’s reach to cater to the growing demand for its technology in the increasingly digitized financial landscape.”
Thank you for joining us. We look forward to seeing you again next week!
Compiled by Techarena.au.
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