Augmentum hails “significant growth potential” of fintech portfolio
Augmentum Fintech believes that its portfolio of fintech investments “continues to provide significant growth potential”.
In an update to the market, the fintech investor confirmed that its portfolio now comprises 25 private fintech companies, including its latest addition – German insurtech firm Baobab.
Augmentum led a recent funding round for the Berlin-based cyber insurance platform, which specialises in serving small- and medium-sized enterprises (SMEs). Augmentum invested €3m (£2.64m) in the firm, representing the company’s first investment in the insurtech space.
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“We are pleased to lead Baobab’s new investment round,” said Tim Levene, chief executive of Augmentum Fintech.
“We have strong conviction that new risks are driving opportunities in insurtech and cyber represents a fast growing and underpenetrated market.
“The team demonstrates strong execution capabilities in developing a solid product, building out a rapidly expanding network of broker partners across Germany and have secured backing from a leading tier 1 capacity provider in Zurich.
“We look forward to working with the entire Baobab team as they build out this new European category leader in cyber insurance for the underserved SME market”.
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Augmentum added that despite the current public markets volatility, the top five companies in its portfolio have delivered an average year-on-year revenue growth rate of 102 per cent.
The top five companies include Tide, the SME banking provider which acquired Funding Options last year. Former peer-to-peer lending platform Zopa is the second largest fintech in the Augmentum portfolio.
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