With an aim to expand across Europe, Stockholm-based open banking platform Tink announced that it has acquired Berlin-based equivalent FinTecSystems, which is powering over 150 banks and fintechs in Germany, Austria, and Switzerland.
The news follows Tink’s fundraising efforts of €175M from two rounds in 2020 wherein it looked to enhance its platform, increase connectivity, and expand its product offering across Europe.
Open banking and data analytics platform provider
Founded in 2014 by Dirk Rudolf and Stefan Krautkrämer, FinTecSystems specialises in data analytics, digital account checks, account aggregation, and open banking payments, with customers including N26, DKB, Santander, Solarisbank, and Check24.
The fintech claims to connect with more than 99 per cent of banks in the DACH region in a way that enables companies to make data services better, data-driven, and automated decisions – every three in every four online credit decisions in Germany involves FinTecSystems.
FinTecSystems currently has 67 employees operating out of four offices in Germany. Following the acquisition, FinTecSystems will continue to serve new and existing customers in the DACH region, as part of Tink.
Aim of this acquisition
With this development, FinTecSystems believes its position will be strengthened in the market as Tink will help fuel the company’s growth and open banking capabilities in the DACH region.
Speaking on the development, Stefan Krautkrämer, co-founder and MD of FinTecSystems says, “By joining forces with Tink, there is a unique opportunity to further strengthen FinTecSystems’ position as the open banking leader in the region, and better support our clients to expand across Europe.”
The German open banking platform has strong local customer knowledge in payments, ecommerce, banking and lending – with risk decisioning and open banking payments at the core of FinTecSystems’ services. And according to the press release, the coming together of both the companies will offer both local and international customers in the region a complete solution when partnering for open banking technology.
Daniel Kjellén, co-founder and CEO, Tink, states, “Germany is a key market for Tink, and we are excited to have acquired an innovative leader with a strong reputation for the quality of its bank connectivity and payments services. We have followed FinTecSystems for many years and are impressed by what they have achieved. Through this acquisition, we are taking a big step into the DACH region, and we look forward to supporting the FinTecSystems’ team to further accelerate their growth.”
Tink’s smart financial services
Founded in Sweden in 2012 by Daniel Kjellén and Fredrik Hedberg, Tink is a cloud-based platform providing infrastructure and data products to enable the future of financial services.
Its technology offers products such as account aggregation, payment initiation, data enrichment, and personal finance management that can be used to develop standalone services or be integrated into existing banking applications. Its partners include giants like ABN AMRO, BNP Paribas Fortis, Nordea, Klarna, and SEB.
In 2021, Tink committed to adding 200 new recruits to the almost 400 employees it has today, to double Tink’s market presence for payments by expanding its payment initiation technology to 10 European countries. It connects to more than 3,400 banks that reach over 250 million bank customers across Europe. Currently, the company serves 18 markets out of its 13 local offices.
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