Rakuten has invested EUR10 million in consumer finance company Kreditech, joining existing backers including JC Flowers and the World Bank’s International Finance Corporation.
Michael Piechalak of the Rakuten FinTech Fund will join the board as an observer.
Kreditech aims to invest the new funding into further developing its partnership business. The company has launched its lending-as-a-service in spring 2016. Partners such as PayU (Naspers) are making use of Kreditech’s POS financing integration.
“Rakuten invests directly into our mission to improve financial freedom for the underbanked through technology,” says Alexander Graubner-Müller, founder and CEO of Kreditech.
“In addition to the financial investment, we envision future partnership opportunities. With its strong market position in Asia, Rakuten could be a door opener for us,” adds Kreditech’s chief financial officer Rene Griemens.
“Rakuten’s vision for global innovation is about contributing to society through cutting edge technology and entrepreneurship. We are excited about Kreditech because of its unique model of individual empowerment through access to credit across various international markets,” says Oskar Mielczarek de la Miel, managing partner of the Rakuten FinTech Fund. “Kreditech is already widely recognised for its distinctive big-data-driven credit model and tech expertise. Rakuten’s investment will allow them to further expand their unique offering.”
