London FinTech Railsr Raises $46M in Debt and Equity
FinTechInvestment
Embedded finance platform Railsr has closed a Series C round of $46 million in debt and equity financing.
The London-based company enables any brand to create and embed financial experiences at any point in the customer journey, including banking, wallets, cards and credit products.
The $26 million equity portion was led by Anthos Capital, which led Railsrs Series B in July 2021, and includes other existing investors spanning Europe, North America and Asia: Ventura, Outrun Ventures, CreditEase and Moneta.
The debt portion of the round was with Mars Capital, a new investor in the company.
“I am very pleased that less than four months after Railsbank evolved into Railsr, we have achieved another milestone and closed our Series C, a significant step towards profitability,” said CEO and co-founder Nigel Verdon.
“We set out to challenge old finance and this is what we will continue to do. Our strategy and success to date has come from the way we prioritize customers, invest in technology, strengthen teams and execute relentlessly to continue our journey.
“While we must take into account the challenging macroeconomic and geopolitical backdrop we operate against today, it’s still a great time to be a fintech business growing new embedded financial microeconomies.”
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Railsr has built a portfolio of more than 300 customers that are disrupting the financial and retail industries. Recent client wins include HelloCash, Sodexo and Payine.
Mike Galvin, co-founder and chief commercial officer of Railsr partner Toqio, said: “Toqio has built a strong collaborative partnership with Railsr delivering financial services to our mutual customers at scale and pace.
“The Railsr partnership has enabled Toqio to deliver cost-effective financial services solutions to the market and has been one of the key drivers of our growth. We look forward to our continued collaboration.”
In May the company appointed England Rugby legend Will Carling OBE as an adviser, while in August Rick Haythornthwaite joined as its first chairman.
Meirav Harnoy, co-founder and managing partner of Moneta VC, said: “It has been a pleasure to see Railsr go from strength to strength as a challenger to legacy finance and a creator of the embedded finance economy.
“Railsr’s customers, technology and people have impressed me since I led the Series A investment round. I’m excited to see what comes next.”
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