European fintech startup MODIFI, a global digital trade finance company for SMEs has raised $24 Mn in a Series B round, which brings its valuation to over $120 Mn. The platform has witnessed a growth of 3X in business in India in August 2021 and is on track to distribute $1 Bn to the Indian SMEs by 2023.
The investment round was led by new investor Heliad Equity Partners with a co-investment from Neva SGR. Existing investors like Global Founders Capital, Maersk Growth and Picus Capital also participated in the round.
Founded in 2018 by Nelson Holzner, Jan Wehrs and Sven Brauer the paperless online platform helps small and medium businesses foster international partnerships and benefit local economies.
CEO and Co-Founder Nelson Holzner, Said, “Smaller businesses lack the tools and know-how to trade with the ease and comfort enjoyed by their larger counterparts. The solutions available out there are fragmented and don’t approach the problem holistically. We have successfully digitized the trade finance industry and are now developing our platform into a comprehensive trade management hub that will empower SMEs to take control of their global trade activities. With Heliad Equity Partners and Neva we are delighted to have two new strong partners complementing our existing shareholder base,”
Falk Schaefers, CEO of Heliad Equity Partners, said, “MODIFI has not just grown in business and outreach in the last few years but also in its approach to addressing systemic issues related to global trade. We are very happy to support the stellar team around Nelson Holzner, Sven Brauer and Jan Wehrs in their journey to become the leading trade finance and management platform for SMEs. Small businesses represent 90% of all firms worldwide, forming the backbone of local economies. It’s critical that we help them grow and flourish”
Mario Costantini, CEO of Neva SGR, said, “The ability to raise funds and attract investors and industry partners worldwide in a very short time confirms MODIFI’s enormous potential to become a billion euro company. It’s clear that global trade needs digital solutions. MODIFI has already done a lot to simplify and automate paper-heavy trade finance processes, and we are looking forward to seeing the fintech company tackle a broader set of challenges related to global trade”.
After raising a $60m debt facility from Silicon Valley Bank in the first half of 2021 the successful platform launched in the Netherlands, Bangladesh and the US. Presently the MODIFI is operational with 9 offices in New York, Berlin, Amsterdam, Delhi, Mumbai, Dhaka, Shenzhen, Hong Kong and Dubai.