Berlin-based B2B payments company Mondu received a €20M debt investment round from German bank Vereinigte Volksbank Raiffeisenbank.
A Luxembourg-based subsidiary company of an outside company received the first loan from Mondu. This loan was secured with assets.
The Mondu company recently raised $57 million through a series A and Seed round of funding. This was due to the company’s recent debt investment that allowed them to diversify and scale their refinancing with external investors. These investors include German and international investors.
Co-CEO of Mondu Philipp Povel states that the loan from VVRB, a member of the German Cooperative Banks group, gives the business a tremendous amount of credibility. Going forward, this will be another key moment for Mondu. Our payment services draw outside creditors to our success. New financing will support our European expansion and help us develop additional business-friendly solutions.
Mondu plans to open a new office in the Netherlands and hire local employees. The company plans to expand into the Dutch market as part of its ongoing growth streak.
B2B Payment Transactions
Founded in Berlin in 2021 by entrepreneurs Malte Huffmann, Philipp Povel and Gil Danziger, Mondu aims to simplify B2B payment transactions.
The German platform offers a “buy now, pay later” B2B solution for merchants and marketplaces. Additionally, the company’s BNPL and installment payment solutions offer corporate buyers their preferred offline B2B payment method and flexible payment terms for online B2B checkout.
The company’s solutions are already available to commercial customers in Germany and Austria, and will now also be available in the Netherlands to enable cross-border trade between these countries.
Philipp Povel adds: “The Netherlands has a modern retail market, with 48% of B2B orders placed online. B2B e-commerce revenue for physical goods alone will reach around $38 billion this year. Sales are expected to grow by 2025. to USD 54.5 billion. With Mondu’s BNPL solution, B2B companies in the Netherlands will offer buyers a fast and smooth B2C-like payment experience with flexible terms, thereby increasing conversion rates and loyalty. As a result, local B2B companies have better cash flow management, minimising operational effort, and the ability to scale business effortlessly and risk-free by selling across borders to buyers in Germany and Austria.”
Mondu recently announced the expansion of its C-Suite team with the appointment of Julian Kurz as Chief Commercial Officer and Lauren Hoehlein Joseph as Chief People Officer.
Mondu now employs about 120 people.
VVRB eG is a cooperative bank with over 65,000 members offering all the banking services one would expect from a bank. The focus, however, is on the financing and securities businesses that have been breaking new ground over the years.
Ralf Magerkurth, CEO of VVRB, commented: “We see great potential in Mondu and its outstanding leadership team. We believe that BNPL for B2B SMEs can have a significant impact and we are very confident in the concept presented to us by the management team. Excited to support the development of Mondu.”
