6th of February 2024– ID Finance, leading Fintech in Spain and Mexico, has closed a $150 million financing with i80 Group in the largest ever financing round of the Group’s history. The raised capital is poised to accelerate the expansion of Plazo, ID Finance's flagship financial wellness app and a cornerstone of its strategic initiatives. This transaction is among the largest financing rounds closed by a Spanish Fintech in recent years and marks a significant milestone, empowering the company to continue achieving its ambitious growth objectives.
Boris Batine, co-founder of ID Finance commented on the milestone: "This financing is not just a testament to our past achievements but a bridge to our future aspirations. With the support of i80 Group, we are set to scale to new heights in financial innovation and inclusivity, making Plazo an indispensable tool for financial wellness across Spain and beyond. This agreement represents a turning point in our business trajectory and brings us closer to our goal of becoming the financial app of choice across Spain. Our journey has just begun, and we remain committed to enriching lives through technology-driven financial innovation."
Tamir Saeed, Managing Partner UK-based asset manager Kingsway Capital and shareholder of ID Finance stated: “We are pleased to welcome i80 Group as a partner, and look forward to them helping ID Finance to further support their mission of improving the financial wellness of underserved consumers in Spain and Mexico. This financing is a critical achievement on the path to realising the company’s vision, as it immediately gives Plazo the opportunity to scale to the next level, and we are very excited about the next chapter of the company’s journey.”
Peter Frank, Managing Director at i80 Group, added: “i80 Group is excited to be partnering with ID Finance, a market leader in consumer fintech, to grow its customer base and product offerings. The company is uniquely positioned to fill an important gap in the financial services market with a combination of access to capital and financial wellness tools and services.”
Solid financial performance in 2023
ID Finance continues to demonstrate remarkable financial resilience and growth. The Group reported consolidated revenues of €180 million, culminating in a consolidated net income of €7.1 million -a 13% year-over-year growth.
The Spanish division of ID Finance remains the main engine of profit for the company, with new loans issued reaching €266 million, a revenue of €124 million, and net profit of €12.5 million. Spanish consumer lending business keeps strengthening its leadership position on the market, continuously improving clients’ quality, and generating a generous return on equity of 56.1%. (*)
(* Financial data are unaudited, according to management accounts.)
Unlocking the potential of financial wellness app Plazo
The newly secured financing from i80 unleashes unprecedented opportunities for Plazo to scale its lending capabilities and introduce innovative, value-added features, as it keeps finetuning its offering. A recent strategic partnership with Meeting Pros exemplifies Plazo's commitment to broadening its service offerings, providing users complimentary access to medical, legal, and veterinary consultations via the app.
In 2023, Plazo experienced a remarkable surge in growth, reaching over 190,000 customers since its inception in Spain in 2021. With a mission to harness technology for enhancing individuals' financial well-being, Plazo has consistently offered a strong, adaptable product suite designed to meet the varied financial needs of its users.
About ID Finance
ID Finance is the leading fintech in alternative lending in Spain and Mexico, specializing in providing innovative financial solutions. Always committed to responsible practices, the company consistently achieves solid financial performance while maintaining the highest standards in integrity and customer satisfaction. For six years in a row, the company has been listed among the fastest-growing companies in Europe in the FT1000 ranking. In 2021, it launched its flagship financial wellness app Plazo in Spain, which offers transactional, savings, and credit solutions aimed at helping people gain greater control over their finances and improve their financial stability.
About i80 Group
i80 Group is a global investment firm designed to propel the innovation economy forward by empowering growth. The firm provides bespoke financing solutions that are unique to each investment partner's needs and are designed to help companies advance through critical growth milestones. The firm is headquartered in New York and has offices in San Francisco and London.
