By Amelia Isaacs on Friday 13 January 2023
Denmark’s “youngest bank” now has more than €40m in capital after one full year of operating.
Danish neobank kompasbank has just raised €12m in new funding.
The raise brings the SME-focused bank’s total funding to more than €40m in capital since it gained its banking licence from the Danish FSA in March 2021.
The “youngest bank in Denmark” dedicated to helping small and medium-sized businesses began operating in full in January 2022 and currently operates in Denmark, Germany and Spain.
kompasbank says the new raise will help it deepen customer relations and better serve and develop more financial services.
“2022 was in many ways unpredictable and unprecedented, and has created a more challenging environment for SMEs to navigate,” founder and co-CEO Michael Hurup Andersen said.
“We are pleased that our customers have shown us the trust and confidence to help them continue their operations, and – in many cases – grow their business.”
The raise saw support from both new and existing investors, though the bank did not disclose specific names.
After its first full year of operation, Hurup Andersen said the bank aims to use its international footprint to serve its customers “in a differentiated way”, and “operate on different markets with attractive diversification”.
“For this specific capital round, the investors have been focusing on three core elements; the growth of our existing customer base, our independent banking platform and our opportunity to scale our business model significantly,” Hurup Andersen added.
According to kompasbank, it saw lending growth of 842 per cent to €60m and a total balance of €88m in the first half of 2022.
It said both deposit and loan growth was maintained into the second half of the year when the bank launched a new B2B marketplace with digital services for SMEs.
