Fintech firm Kani Payments has secured a multimillion-pound investment to grow its team and expand overseas.
The Newcastle-based payments processor secured the injection led by private equity firm Maven Capital Partners, including funds from its venture capital trusts and the Northern Powerhouse Investment Fund II. Kani will use the funds to develop its platform, which provides data reporting and analytics services to payments and banking companies, and to expand its team and international reach.
The firm was founded seven years ago to tackle the complex challenges of payment reconciliation and reporting required by banks, payment companies and other fintechs. Digitisation in the financial services sector and more global regulation is said to be driving the demand for Kani's software as a service (SaaS) platform.
Aaron Holmes, CEO at Kani Payments, said: “This investment marks a pivotal moment in Kani's evolution as we expand our automated reconciliation platform to meet surging global demand. With processed payments exceeding €24bn and our client base spanning five continents, we see first-hand how critical automated reconciliation has become for financial institutions. Maven's backing will accelerate our platform development and global expansion, particularly as we see increasing opportunities in markets where regulatory compliance and payment reconciliation complexity continue to grow.”
Rebecca MacDermid, investment manager at Maven Capital Partners, said: "Kani has developed an innovative, award-winning platform that is addressing a critical challenge in the fast evolving payments industry. The company's proprietary technology, coupled with the team’s deep sector expertise, has helped the business achieve year on year growth with annual recurring revenues sharply increasing in the last year, driven by a 70% increase in clients.
"With the increasing complexity of payment reconciliation and regulatory compliance, demand for Kani’s solution is set to grow further. We are excited to support Aaron and his team as they scale the business and expand into new global markets, particularly with significant opportunities emerging in the US."
Tony Kerr, co-founder and directors at Kani Payments alongside and Craig Dewar, said: "This is the perfect time for Kani to bring on investment from an institutional firm like Maven. Their backing is a strong endorsement of Kani’s vision, capabilities, and growth trajectory.
"This investment not only validates its position in the payments sector but also fuels the ability to scale rapidly, innovate further, and expand into new markets. With Maven’s support, the business is well-positioned to accelerate its mission of transforming payment reconciliation and reporting for businesses worldwide."
Sarah Newbould, senior investment manager, at the British Business Bank, said: "The North East has experienced a recent boom in tech growth and is now home to a broad ecosystem of thriving businesses. NPIF II was created to help foster growth in innovative companies like Kani Payments to further drive the region forward, create highly skilled jobs and cement the North East as a hub for tech talent."
The £660m Northern Powerhouse Investment Fund II (NPIFII) covers the entire North of England and provides loans from £25k to £2m and equity investment up to £5m to help a range of small and medium sized businesses to start up, scale up or stay ahead.
FT Partners was the exclusive strategic and financial advisor to Kani. Due diligence was provided to Maven by Weightmans LLP, Atom Financial, Whitecap Consulting, Lockton and Waterstons.
