BNPP seeks earlier strategic investments in fintechs
The French bank has continued its string of direct investments in fintechs this year and is looking for more with VC fund Anthemis.
Euromoney spent much of this summer talking to issuers, investors and intermediaries about conditions in the large and growing private equity capital market that has continued to supply funding to growth companies, even as the public primary markets, notably for initial public offerings, closed down.
Issuing pure common equity is tough though.
“I would say it’s not just difficult,” the head of one payments fintech told Euromoney. "If you don’t have strategic investors to turn to, it’s almost impossible."
This company founder was sounding out investors at the same time as Klarna, the Swedish buy-now-pay-later company that raised $800 million in July at a post-money valuation of $6.7 billion.
That is down from the $45.6 billion valuation investors attributed to Klarna in June 2021.
"I would say that the valuation last year was the outlier, not the most recent mark,” one private equity fund manager tells Euromoney. “That it came to be valued higher than many national champion banks showed the private markets had gone a bit crazy.”