FastPay, a B2B lending platform and financial workflow solutions provider, announced it has closed a deal for a strategic investment from Citi Ventures.
Details of the deal were not disclosed, but the FastPay says the investment will enable it to grow its flexible lending and financial solutions.
“FastPay’s unique understanding of finance, technology and digital business allows us to uniquely serve the world’s fastest growing industries,” said Jed Simon, Founder and CEO of FastPay. “We are thrilled to partner with Citi Ventures and access the global reach and expertise of a leading global organization as we expand our services and reach new customers.”
Since its founding in 2009, FastPay has originated loans for $1.2 billion to digital business companies like publishing networks, ad tech companies and app developers. FastPay’s business model falls in the segment of invoice trading where a company sells individual invoices to an online community of investors. According to a recent study of the Cambridge Centre for Alternative Finance (CCAF) found that this segment of alternative financing is the fastest growing in Europe.
So far FastPay has obtained $16.5 million in equity funding in three rounds from six investors.
“FastPay’s lending and financial workflow solutions are uniquely tailored to the digital advertising vertical and address a critical need in this fast growing space,” said Ramneek Gupta, Managing Director and co-Head of Venture Capital at Citi Ventures. “In partnering with FastPay, we’re looking forward to helping increase the access and availability of capital to leading ad tech innovators so they can focus their time and expertise on connecting advertisers to the right customers.”
Citi Ventures is the global corporate venture arm of Citigroup. It specializes in early stage venture investments in financial services and technology, commerce and payments, security and enterprise IT, big data and analytics and marketing and customer experience.