Pleo partners with HSBC – Tech.eu
Fintech Pleo has secured a €40M debt financing facility from HSBC Innovation Banking which will see the two companies provide some partnered services.
Founded in Copenhagen in 2015 by fintech veterans Jeppe Rindom and Niccolo Perra, Pleo offers businesses services such as subscription management, spend categorisation, invoice payments, email synching and direct reimbursement and has accrued over 30,000 clients.
The deal enables Pleo to offer higher credit limits to HSBC customers at a time when the average company has seen 6% of their total transactions fail due to insufficient funds. The partnership will also lend credibility to Pleo as a market player after a ‘rollercoaster’ valuation trajectory over the past year.
With Pleo’s overdraft facilities already in use across Sweden, Germany, the UK and a recent launch in Denmark, the fintech unicorn will use the debt financing facility to drive further growth across Europe – starting with overdraft facilities being rolled out to the Netherlands over the coming weeks.
Amit Kahana, VP of Credit and Treasury at Pleo, explained: “We are delighted to announce our partnership with HSBC Innovation Banking. Starting at €40 million, the debt financing available to us can extend based on future requirements – which will expand our existing reach even further into more countries, enable us to increase limits and offer more currencies.
“Beyond this milestone partnership and imminent launch in the Netherlands, we are expecting to see exciting developments over the coming 12 months as we prepare to launch in even more markets.”
Conor Sheehy, Managing Director, Head of Warehouse Finance, HSBC Innovation Banking UK adds: ”This transaction demonstrates HSBC Innovation Banking’s capabilities to provide multi-currency, multi-jurisdictional facilities to support leading credit originators launching new and innovative products. We are proud to be providing Pleo with this facility and look forward to supporting them to continue on their global growth trajectory.”
