ALT21 has secured new funding of $12.5m in an oversubscribed Series A round, bringing its total funding to date to $44m.
The Dublin-based fintech said it was one of the most valuable funding rounds led by 'super angel' investors in Europe, and that the investment would enable the company to accelerate its global expansion, scale its go-to-market strategy and introduce new products.
Formerly known as Assure Hedge and founded by Barry McCarthy, ALT21 provides SMEs trading internationally with foreign exchange and hedging products that would typically only be available to larger corporates.
The global cross-border transactions market is estimated to be worth more than $150tn.
The hedging platform is now led by CEO Pritesh Ruparel, who said ALT21 was "excited to have secured funding from a diverse group of investors who share our vision.
"In an increasingly volatile world, the pricing strategy of banks, brokers and fintechs remains opaque and expensive, there is an urgent need for a transparent, efficient alternative.
"We have been overwhelmed and delighted that so many experienced investors recognise the potential of the company and want to be involved.
"Our newest solutions for business with recurring FX transactions are faster, more cost-effective and involve less steps than traditional providers – think of it like the Stripe for Hedging.
"We have developed our platform based on methods used by prolific high-frequency trading firms such as XTX Markets, and Citadel which dominate the most sophisticated end of the FX market.”
Brandwatch CEO Giles Palmer and former KPMG Ireland senior partner and Dublin Chamber of Commerce president Eoghan Quigley will also join the ALT21 board.
Richard Hayes, chairman of ALT21 and former chairman of Global Shares, said: "I have never been more excited about ALT21’s potential. Businesses are facing higher levels of geopolitical and financial volatility than ever, increasing their operational costs.
"The last few months have set the tone for higher levels of volatility at a global level and as traditional providers struggle to innovate, many businesses remain under or poorly served.
"ALT21 is uniquely positioned to cut through this complexity and deliver unparalleled cost and time savings to enterprises worldwide. I am honoured to chair such a dynamic and accomplished Board.
"The addition of these exceptional leaders brings fresh perspectives and expertise that will complement our existing team. Together, we remain committed to advancing our mission and delivering value to our customers, partners and stakeholders.”
The latest available accounts for Assure Hedge show losses doubled from €2.6m to €5.2m in 2022 as turnover ballooned from €1.9m to €9m, with cost of sales rising from €921,600 to €4.2m and administrative expenses up from €945,400 to €7m. The company has shareholders' funds of €12.1m.
ALT21 last raised funds in October 2023 when it secured $21m in a Series A funding round.
Photo: The ALT21 team in 2023. (Pic: ALT21)
