SoftBank has made a $40m investment in Nomupay to finance the Irish payments platform’s expansion into the Japanese market.
Founded in 2021, NomuPay is a payments business stitched together from the assets, specifically licences, of the failed German fintech Wirecard. Peter Burridge, CEO of Nomupay, says even with those licence acquisitions, the fintech had to reapply with regulators and build a new team and product from scratch.
Prior to this investment, NomuPay had raised more than $90.6m in funding. The deal with SoftBank increases its valuation from $200m to $290m, says Burridge.
‘An all-access pass to Asia’
NomuPay provides payment rails for merchants looking to transact in Asia where the payments market is heavily fragmented across different localised payment methods, currencies and regulations.
The company makes money from charging a variety of fees, including a margin fee on alternative payment methods, foreign exchange fee at settlement and acquiring and processing fees. Burridge claims the company is set to reach profitability in the next 12 months.
SoftBank is making this investment out of its payment services arm, which will provide integration of its payment methods into the NomuPay platform for merchants to access the Japanese market. Vice versa, merchants using SoftBank’s payment services can also connect to the platform and access all countries and methods of payment on the NomuPay platform.
Part of the financing will also be used to finance acquisitions so that the company can push into new markets.
“We are very close to announcing new coverage in Singapore, Indonesia and Vietnam which will give us extraordinary coverage in Oceana and SEA,” says Burridge. “We are exploring acquisitions in several of these markets, with one to be announced later this year.”
Read the orginal article: https://sifted.eu/articles/softbank-nomupay/
