Fintech group Fiinu Plc has had its shares admitted to trading on AIM today, with a valuation of approximately £53 million. Fiinu has also secured its deposit-taking bank licence from the Bank of England.
The issuing of the bank licence and authorisation from the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA), concludes a journey that initially started five years ago. The company will continue to work with the UK regulators, external auditors, investors and its independently led Board to mobilise the bank.
Fiinu is preparing to bring to the market the world’s first Plugin Overdraft, funded by a FSCS guaranteed fixed term deposits of up-to £85,000. The unbundled overdraft solution helps customers to get access to a third-party overdraft from Fiinu whilst building their credit score, which cannot be said about some of the non-bank or unregulated alternatives which are eroding the credit files of customers.
Fiinu’s Open Banking enabled platform connects seamlessly to the customer’s existing bank accounts without needing to switch current account. Customers can therefore continue to use their existing bank accounts as before and benefit from Fiinu’s overdraft service and product which is outside of their existing bank risk appetite.
Chris Sweeney, CEO of Fiinu Plc, commented, “Today heralds the start of a new era in banking. Our unique Plugin Overdraft is the gateway to better financial inclusion and a welcome addition of a product made possible through open banking. With the cost-of-living crisis in full effect, we are working hard to bring the Plugin Overdraft® to market as quickly as possible. We are grateful for the support of our financial regulators who see the role that a new innovative retail bank can play for the UK’s hard-pressed customers.”
The admission to trading on AIM is the result of a reverse takeover and completion of the acquisition of Fiinu Holdings Limited by Immediate Acquisition Plc, which will change its name to Fiinu Plc, In an all-share transaction.
Fiinu has raised £14million capital and debt, including a £1million additional investment from its main shareholder and founder, Dr Marko Sjoblom. The raise allowed Fiinu 2 Limited (soon to be renamed Fiinu Bank), its bank subsidiary, to unlock its licence from the Prudential Regulatory Authority and Financial Conduct Authority and meet its regulatory capital requirements.
Dr Marko Sjoblom, Fiinu’s Founder said, “We chose the London Stock Exchange as the UK Government is highly supportive of the fintech industry. Since Brexit, some British companies have chosen New York for their IPO but we are here for long-term. What also makes this step exciting is the start of a new generation of Plugin product opportunities, enabled by the OBIE initiative. It has been a vision of mine for a long-time that one day our Bank Independent OverdraftÒ platform will create a new market where unbundled overdrafts will increase financial fairness and freedom for everyone, everywhere.”