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Fintech startup Power raises USD 316 million in funding

Thursday 15 September 2022 11:25 CET | News

US-based fintech startup Power has raised USD 316 million in debt and equity funding in order to launch its full-stack credit card issuance platform.

 

The company has flown under the radar for the past year but has now managed to raise USD 16.1 million in seed funding and USD 300 million in a credit facility. The seed funding round was led by Anthemis and Fin Capital and included Financial Venture Studio, CRV, Dash Fund, Plug & Play and a group of angel investors. 

Power’s credit card issuance programme is aimed at companies, brands, and banks and offers embeddable fintech experiences. These include personalised rewards, targeted promotions, and customised credit card programmes, all of which can be embedded into existing mobile and web applications. 

According to Power officials cited by techcrunch.com, the company built its infrastructure from the ground up and doesn’t rely on third-party apps for card application or management. Moreover, clients gain access to an all-in-one experience with templates and receive guidance through card design, packaging, unboxing, loyalty, marketing, rewards and servicing of the card. 

According to the same representative, Power wants to issue thousands of cards this year and to grow that number to tens of thousands next year. In order to achieve this goal, the company is using seed funding to build its team, while the credit will go towards funding the receivables of the credit card programmes.

 

US-based fintech startup Power has raised USD 316 million in debt and equity funding in order to launch its full-stack credit card issuance platform.

 

Fintech startup funding in 2022 

According to techcrunch.com, funding for fintech startups declined in the US and globally in the second quarter of 2022. However, fintech still occupies a significant share of global funding, and 2022 is looking to be a much better year for fintech investment when compared to 2020.

A quick glance at The Paypers – Startups to Watch reveals that some fintech startups have managed to distinguish themselves in segments such as Buy Now, Pay Later and payment infrastructure. 

One example is Pace, a 2020-founded online payment platform that allows users to pay for their purchases in three interest-free instalments. Pace has raised a total of USD 40 million in funding over 4 rounds. 

Flutterwave, a fintech company that provides a payment infrastructure for global merchants and PSPs raised USD 170 million in March 2021 in a Series C round from Tiger Global and Avenir at a valuation of USD 1 billion. In February 2022, the company raised USD 250 million in a Series D round that tripled the company’s valuation to over USD 3 billion in just twelve months. 

These latest financing efforts brought Flutterwave’s total raise since its inception six years ago to USD 475 million.


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Keywords: funding, credit card, fintech, Issuer
Categories: Banking & Fintech
Companies: Power
Countries: United States
This article is part of category

Banking & Fintech

Power

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