5 FinTech acquisitions in Europe in November 2022

By Gloria Methri

Mergers and Acquisitions (M&A) is a sector that is highly elastic in its behaviour. Successfully acquiring and integrating FinTech companies poses a significant challenge. According to FT Partners, as many as 1,485 M&A deals occurred in the FinTech space in 2021, totaling $348.5 billion.

Here are 5 FinTech acquisitions announced in Europe in November 2022:

• MANGOPAY and Nethone 

Payment infrastructure provider MANGOPAY has acquired Polish AI fraud detection and prevention firm Nethone, to develop and offer anti-fraud solutions for marketplaces.

Marketplaces account for over two-thirds of global e-commerce transactions, making them a prime target for fraudsters. To better detect and prevent threats in real-time, MANGOPAY and Nethone are creating a fraud prevention solution specifically for platforms and marketplaces. 

This solution will allow any type of platform to transform threats and challenges posed by malicious activity into profitable business decisions. 

• Tide and Funding Options

Business banking platform Tide has announced that it will acquire SME credit marketplace Funding Options, subject to FCA approval. The acquisition will give Tide’s 475,000 customers access to Funding Option’s panel of 120 lender partners.

Funding Options uses data analytics, open banking APIs, and artificial intelligence to auto-decision the approval of loans. Since 2013, it has granted £680 million in business loans. Under the deal, Funding Options will continue to operate as a separate brand within Tide.

• Regnology and b.fine

Regulatory reporting firm Regnology has acquired b.fine, a Belgian RegTech company that assists financial institutions in enhancing their reporting supply chain. b.fine helps over 30 institutional clients including banks, insurance companies, and investment firms to reduce their regulatory burden.

b.fine’s cloud-enabled technology adds to Regnology’s existing regulatory and supervisory reporting offering by enhancing its last-mile reporting capabilities and accelerating the firm’s ability to serve an extended pan-European market.

• FINOM and Kapaga

FINOM, the digital financial services platform for SMEs and freelancers has acquired Kapaga, a UK-based cross-border payment service facilitating international trade for small and medium enterprises.

FINOM has developed a mobile-first platform, blending a wide range of financial management products into a holistic back-office solution for entrepreneurs and freelancers. Kapaga’s cloud architecture offers companies transparency in streamlining cross-border payments. The merger will unify separate payment services to provide custom solutions to solo freelancers, mid-sized businesses, and corporate clients across Europe and UK.

• Worldline and Banco Desio

French payments giant Worldline is aiming to boost its presence in Italy with the acquisition of Banco Desio’s merchant acquiring activities for around €100 million. Banco Desio’s merchant acquiring portfolio delivers payment solutions to around 15,000 companies, generating about 40 million transactions per year.

Worldline said the deal is expected to close in the first quarter of 2023 and would bring in extra revenue of around €15 million within the first year.