B2B Fintech Radar: June 27,2022

On the radar this week:

Q&A with with Paul Christensen of Previse

Formance, a French payments orchestration provider, raised $3.1 million.

Rivet, a healthcare billing and payments platform, raised a $20.5 million Series B.

ESG Book, a provider of sustainability data to investors, raised a $35 million Series B.

Ledger Investing, a platform to connect risk capital in order to insure assets, raised a $75 million Series B.

Prime Trust, an infrastructure provider for financial institutions to manage digital assets, raised a $107 million Series B.

Q&A with Paul Christensen of Previse

1.​ Tell us a bit about yourself and your company

I have a bit of an unusual background, having been born on a piece of tin in the jungle of Papua New Guinea. Respect to my mother, who is an inspiration! I’m a fintech nut. I’ve been in fintech for 25 years, having been part of the founding team of in the late nineties. I then spent time in several banks, including a decade at Goldman where I led their strategic investments and corporate venturing team. But I knew that I wanted to get back to building and creating. So I started on a quest, with my amazing co-founders (Andre, Giulio and Philipp) and our team, to fix B2B payments.

Our company is a data science firm, on a mission to instantly pay the world’s millions of small sellers, so that they don’t have to wait and chase for weeks and months to get paid. Our purpose is to unleash the power of data for business.

Payments orchestration startup Formance raises $3.1 million

Formance, a French fintech startup that offers businesses a ‘low-code’ template for tracking payment flows in real time, has raised $3.1m from Hoxton Ventures, Frst, Y Combinator and several business angels.

Founded in 2021 by Clément Salaün and Anne-Sybille Pradelles, Fomance offers pre-built, fully customizable use-case templates for the tracking of the payment flows between pay-ins and payouts.

The package, which features an open source modelling language and ledger and a library of pre-built use cases, is designed to help growing businesses keep track of increasing volumes of money flows and pivot to take advantage of new business opportunities as they arise.

The company also offers a suite of subscription-based real-time transaction tracking tools for finance and operations teams that enable the reconciliation of pay-ins and payouts, and the identification of issues related to transactions.

The firm is currently piloting its packacge with an un-named fintech business, and plans to use the funds to chase up a number of pipeline prospects among SMEs and marketplace businesses.

Rivet Raises $20.5 Million Series B Led by Catalyst Investors

SALT LAKE CITY & NEW YORK, JUNE 21, 2022 – Rivet, the modern healthcare billing platform, raised $20.5 million in a Series B funding round led by growth equity firm Catalyst Investors with participation from co-investor Ankona Capital and existing investors Menlo Ventures, Pelion Venture Partners and Lux Capital. Tyler Newton, Partner with Catalyst Investors, will join Rivet’s Board of Directors.

Founded in 2018, Rivet’s revenue cycle operating platform is used by healthcare providers across the country to collect what they are owed from payers and bring greater price transparency to patients. Using Rivet, customers have modeled more than one billion payer contracted rates, created over 400,000 patient cost estimates, and detected denials and underpayments in over 100 million claims, reducing the administrative burden felt by providers while increasing their total income as well.

“Medical payer contracts are often very complicated, resulting in reduced transparency from payer to provider to patient. Rivet deciphers contracts for providers so they can offer patients transparent pricing with our Estimates product while also ensuring proper insurance payments with our Underpayments and Denials products,” said Ted Ferrin, CEO and Co-Founder of Rivet.

ESG Book raises $35m

Sustainability data and technology provider ESG Book has raised $35 million in a Series B funding round led by Energy Impact Partners.

ESG Book says its cloud-based platform makes ESG data accessible, consistent, and transparent, enabling financial markets to allocate capital towards more sustainable and higher impact assets.

Covering over 25,000 companies globally, the platform aims to help firms be custodians of their own data, provides framework-neutral sustainability information in real-time, and promotes transparency.

With the ESG data and services market expected to grow to $5 billion globally by 2025, the Series B investment will be used to fuel adoption of ESG Book’s data platform, and further the company’s continued expansion into new products areas.

Daniel Klier, CEO, ESG Book, says: “Investors, companies, and all market participants are today demanding better, technology-enabled solutions in order to direct capital towards more sustainable and higher impact assets.

“ESG Book is disrupting how sustainability is integrated and measured on a global scale by using next-generation technology that makes ESG data accessible, comparable and transparent.”

Ledger Investing Raises $75 Million in Series B Funding to Democratize Insurance Risk Capital

NEW YORK, June 22, 2022 /PRNewswire/ —  Ledger Investing, an InsurTech startup, today announced that it has raised $75 million in Series B funding led by WestCap, with participation from Teachers’ Venture Growth and Intact Ventures, and previous investors: SignalFire, MassMutual Ventures, Allegis Capital, and Accel. Ledger Investing will use the funds to accelerate revenue growth across its insurance-linked security (ILS) brokerage and asset management businesses, launch data infrastructure service products, and hire more than 200 employees.

Ledger Investing is a marketplace connecting insurance risk with capital. It has successfully expanded ILS into the U.S. casualty market by providing unprecedented data transparency, simplified reinsurance structures, and uncorrelated returns for institutional investors. Ledger Investing has placed over $400 million in premium into the capital markets, and is on track to exceed $1 billion by the end of the year. Managing General Agents (MGAs) and insurance carriers have leveraged the marketplace for multi-year underwriting capacity and access to alternative capital, unlocking incremental value. Ledger Investing has enabled institutional investors to achieve attractive and diversifying, risk-adjusted yields through its ILS fund, Nanorock, and from direct investments in brokered securitizations.

As Ledger grows, the marketplace will serve virtually all types of insurance risks and capital, encompassing traditional reinsurers, institutional investors, wealth managers, and accredited retail investors. Ledger Investing’s unified data pipeline, Ledger Connect, will power the marketplace with real-time, actionable insights and rich analytics for risk originators as well as investors, establishing the new market standard.

Fintech infrastructure startup Prime Trust raises $100M to add IRAs, crypto staking

There’s been a massive proliferation of fintech services in the past few years, during which fintech companies competed to develop new products more quickly than their competitors. Nowadays, the race between fintechs has much more to do with consolidation and which companies can build a holistic, “one-stop-shop” by bringing those different products onto one platform.

Crypto custody and fintech infrastructure startup Prime Trust is positioning itself to do just that, and the company has just raised over $100 million in fresh funding to add new products to its existing suite, its CFO Rodrigo Vicuna told TechCrunch. The Las Vegas, Nevada–based company’s latest round is a Series B featuring a mix of existing and new investors, including FIS, Fin Capital, Mercato Partners, Kraken Ventures, Commerce Ventures, William Blair & Company, Decasonic, University Growth Fund, Gaingels, GateCap Ventures and Seven Peaks Ventures, the company said.

Prime Trust previously raised $64 million from investors in summer of last year, 5 years after its founding. Since that last fundraise, Vicuna said, Prime Trust has expanded its team in numerous areas, including R&D, product and engineering, sales and compliance, bringing its total headcount to 400 today.

The firm serves around 700 customers, ranging from crypto exchanges, on-ramps, wallet apps, ATSs, RIAs, broker-dealers and banks, according to Vicuna. Prime Trust plans to use the new funds to launch a crypto-focused IRA retirement account as well as wealth management and crypto staking products, he added.