Fintech Leader Stenn Valued at $900M in Equity Investment
- The London-headquartered, global fintech business has secured a $50 million equity investment from renowned investment firm, Centerbridge Partners, L.P., at a valuation of $900 million.
- The equity investment will be used to support marketing, product development and hiring the best global talent.
- Stenn is a category leader, using unique technology to provide access to digital finance across 70+ countries for SMEs engaged in international trade.
London, 12 April, 2022 - Stenn, the leading digital financing platform for global SMEs, today announces completion of a $50M equity funding round with renowned US investor, Centerbridge, at a $900M valuation.
Stenn leverages the digital economy and its unique tech stack to provide quick access to efficient growth capital for global SMEs that are engaged in international trade. The business was founded in 2015 by serial entrepreneur Greg Karpovsky, who has more than 20 years' experience pioneering a new market in digital trade finance.
Research work with Accenture has shown that SMEs currently face a global financing gap sitting at $3.6 trillion. This is expected to rise to $6.1 trillion within the next three years1. SMEs conduct more than a quarter of global trade2, yet these businesses have struggled historically to access financing and this has severely restricted their growth potential.
Since its inception, Stenn has provided over $8B of financing to SMEs in over 70 countries across a range of different sectors, from retail to IT services. The growth of the business has been exponential. To date in 2022 its platform has financed over $1B of transactions.
Stenn's proprietary technology platform uses big data and tailored algorithms to analyse credit, fraud and compliance risks. Stenn is able to provide cross-border capital to SMEs within 48 hours. This capital is provided by some of the largest financial institutions in the world, with Stenn managing allocation of funds on their behalf.
Stenn has been named as one of Europe's top-ten fastest growing fintech businesses, consistently doubling revenues over recent years3.
Greg Karpovsky, Founder and CEO of Stenn, comments:
"A lack of access to finance is stunting the growth of SMEs around the world that are engaged in international trade.
"At Stenn, our purpose has always been to level the playing field for global SMEs, helping to plug a multi-trillion-dollar financing gap by connecting these businesses with low-cost institutional capital. Our proprietary platform and data analysis de-risks the process for our banking partners and provides a quick, simple and low-cost solution for SMEs.
"We are excited to be partnering with an investor of Centerbridge's calibre and vision. Their funding will enable our next chapter of growth, allowing us to capitalise on our first-mover advantage whilst continuing to meet surging customer demand as we scale our team and proposition."
Jed Hart, Co-Head of Centerbridge's European business and Senior Managing Director, added:
"We have been impressed with Stenn's disruptive approach to addressing the challenges of global trade finance supply and believe that Stenn has a highly scalable proposition. We are excited to be partnering and supporting Stenn's growth at an important time in its evolution and during a period of uncertainty in the world."
Barclays Bank PLC, acting through its investment bank, acted as placement agent in connection with the offering. Latham & Watkins LLP and NautaDutilh acted as Stenn's legal advisers; Orrick LLP and Loyens & Loeff acted as legal advisers to Centerbridge.
Notes to editors:
1 Private Accenture report commissioned for Stenn in April 2021. Please contact thomas.merry@accenture.com if verification required.
2 World Trade Organisation, World Trade Report: Levelling the trading field for SMEs: https://www.wto.org/english/res_e/booksp_e/world_trade_report16_e.pdf
3 FT1000 2022 edition. Compiled by the Financial Times and Statista: https://www.ft.com/ft1000-2022
Press contacts:
MHP Communications
Simon Hockridge / Charlie Barker / Matt Village
Tel: +44 (0)203 128 8100
Email: Stenn@mhpc.com
About Stenn
Stenn is one of the leading fintechs in Europe. Founded in 2015, Stenn's purpose is to connect international SMEs to the global financial system, helping to bridge a reported $3.6 trillion (USD) financing gap through a fast, simple, online platform. To date, Stenn has issued over $8 billion (USD) of finance to SMEs in over 70 countries globally, with capital provided by a number of global blue-chip banks and institutional fund managers.
For more information, please visit www.stenn.com
About Centerbridge
Centerbridge Partners, L.P. is a private investment management firm employing a flexible approach across investment disciplines - private equity, credit and real estate - in an effort to develop the most attractive opportunities for its investors. Centerbridge was founded in 2005, has offices in New York and London, and as of January 31, 2022 has approximately $33 billion (USD) in capital under management. Centerbridge is dedicated to partnering with world-class management teams across targeted industry sectors and geographies.
For more information, please visit www.centerbridge.com
