Open Banking firm closes $100m investment round

By Daniel Lanyon on Thursday 16 August 2018

Editor's PickDigital Banking

The new funding sees the firm approach a new $500m valuation as Vitruvian Partners, Kinnevik and other existing shareholders participate.

Open Banking firm closes $100m investment round
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Deposit Solutions, a fintech start-up based in Hamburg, has closed a new investment round of $100m led by Vitruvian Partners as the firm looks to expand its services in the UK.

The firm’s Open Banking platform allows banks seeking deposit funding access to deposit funding from the clients of other Points-of-Sale in different markets without having to set up and operate their own deposit infrastructure for these customers.

Its platform allows for integrations with banks, both incumbent and challenger, as well as other financial services firms for savings deposits.

Vitruvian was joined by Kinnevik and existing shareholders including Deposit Solutions’ first institutional shareholder in the new fund raise.

Tim Sievers, CEO and founder of Deposit Solutions, speaking to AltFi says the firm is looking to expand its operations in the UK and is currently speaking to several incumbent and challenger banks with a view to provide its platform white-labelled.

“Our platform can be used as the response to challenger banks for incumbents,” he said.

Founded in 2011 by Tim Sievers, Deposit Solutions says that it connects more than 70 banks from 16 countries to more than 30 million savers through a wide variety of Points-of-Sale including via Deutsche Bank and Fidelity’s FFB.

Sievers added: “We are delighted to welcome Vitruvian and Kinnevik as new shareholders. They are experts in supporting high-growth companies, which makes them ideal partners for us. Their deep industry expertise and financial firepower will help us achieve our mission of making Open Banking the new standard for the global $50trn market for savings deposits.”

The company is headquartered in Hamburg, has additional offices in London, Zurich and Berlin and employs a team of 250.

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