One of the fastest growing and the hottest foreign exchange startup Kantox, has closed $11 million Series B funding round that was led by prevailing investors Partech Ventres, IDinvest Partners and Cabiedes & Partners. This raises the total funding of the company to $19 million.
London-headquartered fintech startup founded in 2011 by e-employee of Deloitte Philippe Gelis, Kantox provides a platform for businesses to exchange currency, that includes peer-to-peer. This allows them to get a much better rate in comparison with banks or the traditional brokers.
Gelis who explained about the business said, “Large companies have resources, knowledge and leverage to manage their FX in a smart way and to negotiate fair prices with banks. On the contrary, SMEs and mid-caps are unable to do so and find themselves at the mercy of banks and traditional FX brokers.” He also added, “At Kantox, we provide a transparent FX management platform which helps SMEs and mid-caps manage their FX the same way that a large corporate does, but without the risk of being charged extortionate rates.”
Until date, the London-based company claims it has reached 400% year-on-year growth with more than 1500 clients and lately it declared it has processed over $1 billion worth of transactions. In the last three months alone, the company processed an extra $0.5 billion, which is supposed to be the largest transaction to date. Its clients range from small businesses to mid-cap companies with revenues in billions, which includes many publicly listed companies. They cover various industries that consists of technology, pharmaceutical, electronics, tourism, transport and even fast-growing startups.
The company plans to use the latest funding to expand its growing European markets and to improve its platform further. Gelis said, “Closing a round with existing investors is a real proof of confidence from them. We wanted to move fast and close a round quickly and they fully supported us in that strategy. People are open for financial services that come from non-traditional financial institutions.” He assures, “The growth of the financial technology sector will continue and the corporate sector will benefit from it enormously. This financing round will support us in our aim to further bring innovation and products to the corporate foreign exchange sector.” Currently, their main challenge lies in make the clients aware of the unfair banking system and make them change paths, which seems to be long-term plan of the company.