PayKey Closes $10M B Round To Make Mobile Banking Services Channel Agnostic and Contextual
Funding Round Comes Following Significant Growth in Sales, Confirming Need for Social Banking Solutions
(Tel Aviv, Thursday October 19th, 2017) PayKey, a fintech startup bridging the gap between banking and social, today announced the official closing of its $10 million Series B funding round, led by MizMaa, and joined by SBI Group, Digital Ventures – the fintech subsidiary of Siam Commercial Bank, SixThirty, Fintech71, The FinLab, and additional new and existing investors. The funding will be used to accelerate PayKey’s global expansion and to continue developing new solutions. This round brings the total invested in the company to $16 million.
PayKey enables banks to increase brand engagement by transforming the smartphone’s keyboard into a new channel for financial services, information, and communication. With its patent pending Mobile Banking Keyboard, PayKey enables banks to provide their customers with the ability to initiate and complete a range of financial services, including P2P payments, balance check, cardless cash withdrawal, chatbot engagement, and more, from within any mobile application without needing to open the bank’s app. Offering a cross-platform banking button on the smartphone’s keyboard boosts banks’ brand engagement while making the banking experience quick, contextual, and simple for users.
Globally, banks today are facing a multitude of challenges, with capturing and engaging the millennial market being one of the biggest across the board. With a host of new non-traditional competitors hitting the market, financial services are becoming increasingly fragmented. Banks are seeking innovative approaches to break through the noise and to maintain control of the customer relationship in order to remain relevant. PayKey solves this problem by offering a solution that makes banking contextual, frictionless, and instantaneous, taking the banks to their customers, rather than the other way around.
“It’s been a really successful year for us, as we’ve doubled the number of employees and signed seven commercial deals with banks around the world,” said Daniel Peled, CEO and Co-Founder of PayKey. “Asia is a very innovative and strategic market for us, and so it’s very exciting to see such support and interest from the Asian market in this funding round. With top VC’s and strategic investors from the Asian market leading this round, it’s an exciting validation of our technology and success so far. We’re excited to hit the ground running as we expand towards Asia.”
“Fintech is booming in Asia right now,” said Paul Ark, Managing Director of Corporate Venture Capital at Digital Ventures, the fintech subsidiary of Siam Commercial Bank. “As a rapidly evolving space with huge market potential, we’ve been searching for companies with the right ingredients to invest in. With innovative technology, a great team, and early success with top tier financial institutions, we’re very excited to be adding PayKey to our portfolio and to be working together as they enter the next phase of growth.”
PayKey has seen impressive early traction, already counting Westpac in Australia, Davivienda in Columbia, UOB in Singapore, Garanti in Turkey, Sparebank in Norway, and Bank Leumi in Israel as customers. The company expects to more than double the number of customers in the next six months, with one of the world’s largest banks in the world due to go live with PayKey by the end of the year. The company has previously seen support from leading financial institutions, counting Mastercard, Santander InnoVentures, and CommerzVentures as existing investors.
“We were very impressed by PayKey’s traction in the market,” said Yoshitaka Kitao, Representative Director, President and CEO of SBI Group. “The company has established itself as the leading solution provider for P2P payments and contextual banking solutions. We are excited to be an investor and look forward to supporting PayKey as they lead the way towards bringing greater innovation to the banking industry.”
“”PayKey has a very attractive and unique market positioning – offering financial institutions a way to make their brands become a part of the most used mobile apps, while keeping the technical integration process very simple and fast,” said Isaac Applbaum, Founder & General Partner of MizMaa. “We’re thrilled to add PayKey to our portfolio of innovative Israeli startups with a global reach, underscoring the investment focus of MizMaa and the background of its GPs and LPs.”
PayKey is a white-label solution and can be fully customized according to banks’ UI, UX, and desired service offering. Integration takes place only at the API level, and therefore security measures and authentication remain unchanged and are still processed through the bank’s app. A PCT patent has been filed for the technology.
Established in Tel Aviv, Israel, in 2014, PayKey is a social banking solution that enables banks to increase brand engagement by transforming the mobile keyboard into a new channel for financial services, information, and communication. PayKey enables banks to provide their customers with the ability to initiate and complete a range of financial services, including P2P payments, request payment, balance check, cardless withdrawal, and more, from within any mobile application. PayKey has won numerous industry awards including Winner of the Citi Mobile Challenge EMEA, Winner of the Santander ‘Pitch Slam’, Winner of the Visa Contactless & Mobile Awards Payment Innovation, Winner of the BBVA Open Talent 2016, and being listed as one of Europe’s hottest 50 fintech firms. The company has raised $16 million to date from tier 1 financial institutions including CommerzVentures, Santander InnoVentures, SBI Group, Siam Commerical Bank, and Mastercard, along with leading global venture capital firms including MizMaa, Digital Ventures, e.ventures, Wharton Asset Management and Magma VC. For further information visit: www.paykey.com
Anna Dalton, Marketing and Communications Manager