Teylor, a Swiss fintech and European SME lender, has closed one of the largest fundraisings in the European private debt market for alternative lenders and the fintech industry so far in 2023. The €275m in fresh capital from British investors will enable Teylor to continue its rapid growth and support more than 500 European SMEs on its credit platform.
Barclays Bank PLC, acting through its Investment Bank, M&G Investments and other investors, have signed financing agreements for up to €275m in capital to Teylor AG. With one of the largest financing rounds this year, the startup is well-positioned to further support more than 500 European SMEs with fast and flexible access to financing.
The Wallisellen (Zurich)-based fintech startup is on a mission to provide European SMEs better access to credit. According to the latest EY Global SME survey, SME decision-makers consider fast access to credit as one of their biggest needs, making fast and flexible alternative lending a key opportunity for competitive differentiation.
Since its inception in 2018, Teylor has built a unique platform providing fast and flexible financing to SME borrowers in Germany. Teylor’s self-built technology platform is used directly to finance SMEs in Germany. Additionally, Teylor licenses the technology platform to more than a dozen financial institutions throughout Europe. The startup’s proprietary platform for deal origination, credit risk assessment and private debt have allowed it to process more than €3bn of SME debt in the past three years.
SME’s demand for non-bank financing is increasing as alternative lenders and private debt funds often provide greater flexibility. Through its investment and partnership with Teylor, Barclays will have the opportunity to impact SMEs outside of its UK home market. Similarly, M&G Investments, an active global investor in structured credit and private debt, has increased its footprint in SME direct lending in Europe.
Gordon Beck, Head of European Corporate & Sustainable Securitisation at Barclays, says, „SMEs require a reliable platform to satisfy financing needs with limited bureaucratic hurdles and efficient deal execution. We are pleased to expand our financing footprint within this sector in Continental Europe and support Teylor as one of the companies driving the transformation of SME lending through digitisation.”
The landmark DACH fundraising transaction was closed despite the turbulent macroeconomic backdrop and uncertainty in capital markets, demonstrating the strength of the Teylor platform, team and technology. Huy Nguyen, Head of Private Debt at Teylor, says: „Having Barclays and M&G Investments as strategic partners for Teylor brings our platform to the next level and proves Teylor’s leading market position. The capital enables us to provide flexible and long-term financing solutions to strong SMEs when capital has become less accessible.”
Patrick Stäuble, CEO and Founder at Teylor, says, „SMEs, financial institutions and investors need a single platform that simplifies all credit processes. We have seen this digital revolution happen in B2C which was driven by today's fintech giants. The next fintech revolution will be in B2B, driven by companies like Teylor. With the support of our investors, we will change how credit is provided in modern economies.”
(Press release/RAN)
Photo: Patrick Stäuble
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