Lunar, the Nordic bank which has more than 200k customers in Denmark, Sweden, and Norway raises €40 million Series C investment to jump BNPL space.
Lunar, the Nordic challenger bank that started journey as a PFM tool but acquired a full banking license in 2019 has raised €40 million in Series C funding. New injection comes from the existing investors. In total Lunar has raised to €104 million from investors inclduing Seed Capital, Greyhound Capital, Socii Capital and Chr. Augustinus Fabrikker.
Lunar has offices in Aarhus, Copenhagen, Stockholm and Oslo with a headcount for more than 180 employees. Lunar plans to launch in Finland in the first quarter of 2021. Lunar customer engagement is very high, customers are spending €1.100 per month. Also bank has 5.000 business users additional to 200.000 users across the Denmark, Sweden and Norway.
According to TechCrunch report, the challenger bank is also launching BNPL product.
Ken Villum Klausen, Lunar founder and CEO
It’s the most profitable banking landscape in the world, but also the most defensive, with least competition from the outside. This means that the traditional banking customer is buying all their financial products from their bank. This does not require merchant agreements etc, and will work on all transactions both retail and e-commerce. We do not view Klarna as a direct competitor as they are not in the Nordic clearing system. Hence, you cannot pay your bills, get your salary and use it for daily banking. Klarna is enormous in Sweden, but relatively small in Denmark, Norway and Finland.
Plans for roll-out in the MENA and CEE regions are underway through a joint venture with global investment conglomerate Dubai Holding.
Strategic investment sets the stage for expanded future omnichannel merchant acquiring capabilities for European SMBs, value-added services and payments innovation.