Thiel-Backed Banking Startup Could Nearly Double Its ValuationBy
German startup Deposit Solutions close to raising $20 million
Deposit broker is also backed by fintech investor Peter Thiel
German financial technology startup Deposit Solutions is close to raising $20 million from existing investors, in a new round of funding that values the company at $260 million ahead of new rules that will make it easier for such companies to access banks’ client data, according to people with knowledge of the matter.
E.Ventures, which is affiliated with Germany’s mail order and e-commerce company Otto Group, and Greycroft Partners are planning to chip in the additional funds to help finance international expansion, the people said, asking not to be identified because the information is private.
The funding round, which is set to almost double Deposit Solution’s valuation since its last cash call about a year ago, comes a month before banks in the EU will have to provide fintech companies access to their customers’ accounts and data with the clients’ consent. Deposit Solutions, founded in 2011 in Hamburg, is working with banks across Europe including Deutsche Bank AG to make it easier for savers to pick the highest-yielding accounts without additional paperwork.
Along with Otto Group’s e.Ventures and Greycroft, the deposit broker is backed by Silicon Valley investor Peter Thiel and German investor Christian Angermayer as well as FinLab, a German listed private equity vehicle focused on fintech investments.