Swedish fintech player Open Payments raises €3m

24 Aug 2020

The Open Payments team. Image: Open Payments

Based in Stockholm, Open Payments will use the funding to expand and establish its open banking API in the Nordic and European markets.

Open Payments, a Swedish company taking advantage of the growing demand for open banking technology in Europe, has announced a €3m seed funding raise.

Founded in 2017 by Jonas Kjellin and Louise Brandt, the start-up’s goal is to democratise financial services by providing an open banking API that connects both big and small innovators with private and corporate accounts across Europe.

The fintech firm’s latest funding round was led by Industrifonden, with participation from existing investors Brightly Ventures, Luminar Ventures and angel investors.

In a statement, Stockholm-based Open Payments said that the funding will be used to grow its team and establish the platform in the Nordic and European market. It has already launched its services in Sweden and Finland.

‘Bridging the gap’

Open Payments is a licensed payment institute that offers PSD2 API aggregation through a single and secure API. The start-up said that it offers a “cutting edge” modular open banking platform that enables businesses to easily and efficiently integrate with banks and other financial services companies.

The platform allows third-party providers and business partners to develop their own products and services under their own brand name.

Kjellin, CEO of Open Payments, said that the platform is “bridging the gap” between big tech companies and traditional financial technology businesses.

Anna Ljungdahl, investment manager at Industrifonden, said: “Open Payments’ platform makes it easy for companies to take advantage of the enormous business development potential that open banking entails for small and large companies.

“It is also exciting to find such a strong founding team with long international experience here in the small Swedish market. I look forward to working with a young, agile company that, with ingenious technical simplicity, gives customers favourable freedom and flexibility in their open banking offerings.”

Open Payments has previously raised approximately €125,000 in pre-seed funding for its infrastructure API.

Kelly Earley was a journalist with Silicon Republic