Barclays has led Funding Xchange’s (FXE) Series B funding round, which is open to a number of FXE clients.
The fundraising is bringing together strategic investors and will boost FXE and its ability to drive ecosystem adoption. This includes digital tools that promote transparency, positive customer outcomes and more efficient lending processes for banks and lenders.
Go deeper with GlobalData
FXE provides white-label software solutions for banks and lenders as well as developing industry-wide solutions that brings SMEs together.
Furthermore, FXE products have been adopted by 80 of the most innovative high street banks, challengers and specialist lenders.
Ryan Hayward, head of strategic investments for Europe and Asia at Barclays, said: “We have chosen to back FXE as we see the opportunity to transform an industry that has not kept pace with the consumer market in the adoption of digital technologies. The team at FXE brings together the right mix of skills and experience and they have built an impressive technology and insights platform. The strength of the team and their track record as innovators makes us excited about the prospects for the business.”
Katrin Herrling, CEO and co-founder of Funding Xchange, commented: “This investment creates a unique opportunity for Funding Xchange to drive the transformation of the wider SME lending ecosystem. We are delighted that Barclays shares our vision and approach to close collaboration focused on rapidly unlocking tangible benefits for businesses and banks.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataSarah Hollyhead, MD of Funding Xchange, commented: “It has been a pleasure to work with Ryan and the Barclays Principal Investments team on delivering this transformational investment into Funding Xchange. Our client-led Series B is fantastic recognition of the client advocacy our team has built.”
Barclays recorded a profit before tax of £6.6m ($8.3m) over 2023, a 6% drop year-on-year.
However, group income for Barclays totalled £25.4bn over 2023, a 3% increase from 2022.
In addition, Corporate and Investment Bank (CIB) income fell 4% to £12.6bn, attributed to lower client activity in both Global Markets and Investment Banking, but this was partially offset by a strong performance in Corporate driven by Transaction Banking.
Consumer Cards and Payments (CC&P) income increased 18% to £5.3bn due to higher balances in US cards and favourability from higher rates and client balance growth in Private Bank.
Furthermore, Barclays Group total operating expenses were £16bn in 2023, up 2% year-on-year.
Speaking exclusively to PBI, a spokesperson from FXE said: “The funding will help us accelerate in multiple areas. First, backing from Barclays is great validation of our technology, our strategy and our business and gives us tremendous credibility in the market
“Second, the funding will allow us the resources to deliver our solutions to more clients in our core UK banking and lending market and continue expand on the momentum we have already developed with Tier 1 banks, challenger banks, other lenders and brokers.
“Third, the funding will enable us to refine our products in partnership with key partners like Barclays. The FXE suite supports each stage of the small business lending lifecyle (application/triage, credit assessment and portfolio monitoring).”
