Open Banking: Apple makes first major UK fintech acquisition with Credit Kudos purchase

A big validation for UK fintech as the world’s most valuable company snaps up one of its newest startups.

Credit Kudos has been acquired by Apple in a transaction worth $150m.

The deal, first reported by The Block, has been confirmed independently by two sources to AltFi. Apple and Credit Kudos, however, have not confirmed the acquisition and declined to comment.

Founded in 2015 by Freddy Kelly and Matt Schofield, Credit Kudos has made a few pivots within the fintech lending space over the past five years before concentrating on providing open banking functionality to lenders.

 Kelly is believed to own approximately half of the equity bringing his stake to c.$75m.

The company last raised money in the early days of lockdown, with Credit Kudos securing a £5m Series A funding round valuing the business between £20-30m, AltFi understands.

The investment was led by AlbionVC with participation from TriplePoint, Plug & Play Ventures as well as existing backers Entrepreneur First and Ascension Ventures.

A number of fintech angel investors also participated including Christian Faes (LendInvest), Tom Stafford (DST Global Managing Partner), Charlie Delingpole (ComplyAdvantage and MarketInvoice), Will Neale (Grabyo & Fonix Mobile) and Daniel Gandesha (PropertyPartner).

In the past year or so Credit Kudos has won a number of new clients including LendInvest,  Curve, 247 Group and Atom Bank.