Airwallex Announces Record Profits in Tandem With LatAm Expansion
The Future Of Banking
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?? NEWS HIGHLIGHT
The Freedom Bank of Virginia, a next-generation community bank in the US, has converted its online and mobile banking solutions to the Apiture Digital Banking Platform.
Freedom Bank sought a digital banking platform to enhance its customers’ user experience. With Apiture’s Consumer and Business Banking solutions, Freedom Bank’s customers benefit from modern, fully featured online and mobile solutions with innovative digital support options.
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NOW, ON TO THE SUMMARY OF LAST WEEK'S NEWS
?? DIGITAL BANKING HIGHLIGHTS
?? Monument Bank in talks to raise ￡???????? ahead of Nasdaq IPO.
?? Revolut has received authorization from the Bank of Portugal to open Revolut Bank UAB's branch in Portugal.
?? Nubank’s Q4 FY2024 Earnings are on.
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?? REGIONAL HIGHLIGHTS
UK ????
Lanistar hit with second winding-up petition in less than six months. The latest petition application was filed by Accomplish Financial Limited, a payments solution provider working with Lanistar. The new filing follows a previous winding-up petition in September by its London landlord over unpaid rent.
Revolut sticks with hybrid working and bucking London’s office push. CEO Nik Storonsky offered a preview of how the new office will look. The firm announced last year it would be moving into four floors in the YY London building in May, a move that will increase its office footprint by 40% to 113,000 square feet.
Flowbank bankruptcy will see just 70%-80% refund to third class claims. The neobank has issued an update to former clients and creditors of the company, providing more insight and data from its efforts to return client and creditor funds and deal with some of Flowbank’s assets.
EUROPE ????
ING Belgium and Mastercard introduce 'Click to Pay'. The new payment solution allows online shoppers to use their payment cards without the need to manually enter their 16-digit card number or remember passwords. Read more
USA ????
Digital Bank Varo Bank aims to raise $55 Million. The funding round is part of a Series G offering of preferred shares, not voting common stock and warrants to acquire more common shares. Varo offers savings and credit services. It also includes cards, ATM access, early pay, and other features while touting its “no hidden fees” promise.
Revolut's road to IPO will test FinTech’s hype. For neobank Revolut, the FinTech hype looks set to be tested, with co-founder Nik Storonsky recently flagging that backers will want an initial public offering “sooner or later” and that the US looks a preferable listing destination.
LATAM
Nubank, PagBank, and other FinTechs may need to change their names. A public consultation by Brazil’s Central Bank (BC), open until May, aims to restrict FinTechs from using terms like “bank” or “banco” in their names. A proposed rule would ban misleading terms in names and branding. The restriction would apply to company names, trade names, branding, and website domains. Nubank is monitoring discussions and says a banking license wouldn’t require more capital due to its structure.
Banco Santander announces over $2 billion investment in Mexico in three years. The company's Executive Chair Ana Botin made the announcement during an event in Mexico's capital detailing that the amount will be designated to Openbank, Santander Bank itself, and other items.
AUSTRALIA ????
Airwallex CEO and Co-Founder Jack Zhang reflects on 2024 and what’s next. The company’s annualized transaction volume rose from US$100 billion in August to US$130 billion just three months later, following its ARR surpassing US$500 million. This marks a 73% year-over-year increase in transaction volume.
Airwallex announces record profits (as transactions hit $????????) in tandem with LatAm expansion with a dual market strategy targeting Mexico and Brazil. Much of this growth can be attributed to Airwallex’s expansion into new regions and its ability to offer businesses a compelling alternative to traditional financial institutions.
Zeller targets startups with new digital banking solution. The new service addresses the need to juggle multiple financial platforms alongside their primary bank account, a common frustration among Australian tech companies. A key feature lets founders create accounts for projects or expansions.
AFRICA
Kuda Group grew revenue to $32.1 million in 2023 as total losses jumped to $40 million. The bank raised an undisclosed equity round in 2024, securing additional capital after its operational costs spiked losses and led to a decline in cash reserves. These losses were primarily due to increased staffing and operational costs, including $8 million in salaries for 456 employees.