FT Partners Publishes 2022 FinTech Almanac – Volume Declines 58% While Deal Count Remains Strong

FT Partners Research is pleased to announce the publication of our 2022 FinTech Almanac report, providing the most comprehensive review of global FinTech deal activity with analysis across private company financings, IPOs, and M&A transactions.?

Executive Summary:

Following a blockbuster 2021, FinTech deal activity cooled off in 2022 as high inflation, rising interest rates, and fears of a recession took their toll. FinTech was not alone in feeling this pain as capital markets activity suffered across the globe. As the year progressed and capital became even scarcer, many firms across FinTech and technology more broadly made the difficult decision to cut costs through layoffs in order to paint a clearer "path to profitability."

During 2022, overall FinTech deal activity volume including private company financings, M&A and IPOs fell 58% compared to 2021. On a quarterly basis, FinTech deal activity declined every quarter since the peak in Q3 2021. While dollar volume fell sharply in 2022, the total number of private company financings increased by 1% from 2021 as average transaction sizes fell.?

While mega funding rounds, IPOs, and massive mergers in the tens of billions of dollars were few and far between in 2022, early-stage funding activity increased as investors shifted towards investments with longer exit time horizons.

Looking ahead, many bright spots in FinTech remain. While activity fell in 2022, the year was still the second strongest in history for private company financing. FinTech is still arguably in its early innings as incumbent financial institutions still have a long digitization journey ahead, younger consumers continue to favor app-based solutions, while FinTech in emerging markets such as Africa, Latin America, India and Southeast Asia is picking up substantial momentum. With any perceived stabilization in capital markets, FinTech IPOs should return and CEO confidence should improve, leading to more significant M&A activity.

The Report Features:

• 2022 and historical FinTech financing and M&A volume and deal count statistics
• Largest FinTech financings and M&A transactions in 2022
• Most active FinTech investors including strategic investor participation
• Breakdowns by geography and deal type
• FinTech sector and sub-sector highlights
• Updated "History of FinTech"

FT Partners' data, analytics, and insights on FinTech stem from our deep domain knowledge and the Firm's proprietary database, which has been meticulously and methodically compiled. The FT Partners Research Team assembles and curates this information through primary research and it represents years of focus and diligence. We believe this report provides the most complete set of global FinTech transactions, trends, and insights, and we are proud to release this information to our clients, partners, friends, and the FinTech sector globally.

Selected FT Partners-Advised Transactions?

• Divvy's $2.5 billion Sale to Bill.com
• Truebill's $1.3 billion Sale to Rocket Companies
• Revolut's $1.3 billion Financing at a $33 billion Valuation
• Mollie's $800 million Financing at a $6.5 billion Valuation
• Payrix's ~$800 million Sale to FIS
• Taulia's ~$800 million Sale to SAP
• Cross River's $620 million Series D Financing
• Velocity Global's $400 million Series B Financing
• SpotOn's $300 million Series F Financing
• Neon's $300 million Series D Financing
• Lendable's ~$275 million Financing
• Avant's $250 million Financing
• CAIS's $225 million Series C Financing at a $1 billion+ Valuation?
• Newfront's $200 million Financing
• Accelerant's $193 million Financing
• Blackstone's $184 million Investment in Currencies Direct?
• Kantox's Sale to BNP Paribas