Underbanked financial services provider Kreditech has closed a Series C funding round of $103 million this week after receiving an $11 million investment from the World Bank Group’s International Finance Corporation (IFC), an organization that specializes in the economic development of emerging countries.
The Germany-based company received the first installment of the Series C round, totalling $92 million, in September 2015. That round was led by J.C. Flowers & Co. Other notable investors include HPE Growth Capital, Blumberg Capital, and Peter Thiel. The closing of this Series C round brings Kreditech’s total funding to $151 million.
According to TechCrunch, Kreditech is valued between $279 million to $335 million and the company is in the process of raising “another very large debt round,” which should close in Q3 2016.
Kreditech will use the funds to bolster its Monedo platform that offers credit services and digital banking products to the underbanked population. The company’s CEO & co-founder Alexander Graubner-Müller states, “Most of our customers are not able to obtain credit at traditional banks … . Through Kreditech’s technology we can perform a more precise credit rating to offer credit at fair and risk-weighted conditions. With the new funding, we will continue advancing our scoring technology to continuously improve and expand our product offering.”
Kreditech uses 20,000 data points, updated every minute, to offer 24/7 access to credit decisioning for anyone in 35 seconds.
Kreditech’s founder and former CEO, Sebastian Diemer, and current CEO, Alexander Graubner-Müller, debuted Zaimo, Kredito24 and K24 at FinovateSpring 2014.