Swedish Open Banking Startup Tink Closes €90M Funding Deal

Sweden’s open banking platform Tink raised €90 million in an investment round co-led by Dawn Capital, HMI Capital and Insight Partners, Tink announced on Monday (Jan. 20).

The startup’s platform links over 2,500 banks and 250 million users across Europe. The new funding is being earmarked for pan-European expansion and the development of new products.

The Stockholm-headquartered company raised €56 million in February 2019. This new investment is Tink’s biggest funding to date.

“The investment round will facilitate our ambitious growth plans over the next year and beyond. During 2020 we are committed to building out our platform with more bank connections and, on top of that, expanding our product offering,” said Daniel Kjellén, co-founder and CEO of Tink.

He added that the company is striving to be the go-to provider of digital financial services for pan-European banks, banks, FinTechs and startups. “Two key factors for succeeding with that are that we strengthen our European coverage and continue to deliver new data products on top of this infrastructure to our customers.”

Through one API, Tink users can tap aggregated financial data and develop tools to better manage finances. Customers include PayPal, Klarna, NatWest, ABN AMRO, BNP Paribas Fortis, Nordea and SEB. Over 4,000 developers also use Tink.

The company’s platform is live in the U.K., Germany, Spain, Italy, Portugal, Sweden, Denmark, Finland, Norway, Belgium, Austria and the Netherlands.

“As the world of banking undergoes a fundamental shift, from analog to digital and from closed to open, banks and financial services require a new set of technical foundations on which to build a winning product strategy for the coming decades,” said Josh Bell, general partner at Dawn Capital.

“Our investment underlines the confidence that the industry has in Tink’s category-leading technology, and we look forward to supporting them on their continued journey,” he added.

In June, Tink announced that it received an $11.2 million investment from PayPal to expand its team, develop new products and connect more banks. The startup joins a host of FinTechs capitalizing on the Payments Services Directive 2 — PSD2 — which allows users to authorize third parties to use their banking data to make payments on their behalf.