- Israeli fintech neobank operating in 20 European countries offering digital wallet, insurance, global remittances, debit and credit cards to the world’s 270M unbanked migrants
- 300% YOY revenue growth 2020-21 in main markets, 100% YOY increase in transfer volumes in main markets 2020-21; EU monthly remittance volumes above $20M; over 70K active users
- Revenue increase expected from partnership with pan-European cash network Paysafe to provide customers 200,000 deposit points for cash into Rewire accounts, significant advantage vs. competitors who do not accept cash
- Launching partnerships Q1 2022 as exclusive remittance provider for institution with 3-5M migrant customers, and leading global insurer AIG
- $30M Series B; existing investors include Viola, Moneta, Renegade Partners, Glilot Capital, BNP Paribas, Standard Bank of South Africa, Yahoo! Co-founder Jerry Yang
Many of the 270 million migrant workers around the world face entry barriers to the banking system such as minimum balance requirements, required credit history, and lack of trust in formal institutions. As a result, many are excluded from the traditional banking system, and struggle to find safe and effective ways to accumulate money and transfer funds back home.
OurCrowd is reinvesting in Rewire, a fintech neobank exclusively online with no physical branches, targeted at traditionally underbanked migrant workers. The details in this email are based on information received from, and verified solely by, the company.
Problem and Solution
Rewire solves two urgent problems for migrant workers: it provides them with a way to accumulate and use digital cash, eliminating the risk of keeping large amounts of cash on hand, and a convenient, low-cost way to send earnings to family in their home countries.
Rewire partners with banks in receiving countries, allowing clients to access additional financial services, develop their financial history while abroad, and have a significant relationship with a local bank on their return home.
In addition to offering lower fees than competitors and a superior user experience, Rewire provides budgeting and other money management tools in its app. Rewire is developing additional financial services for its customers including family cards, insurance, and credit.
Rewire is enjoying rapid growth. In its main markets, from 2020 to 2021 the company saw 300% YOY growth in revenue and 100% YOY increase in transfer volumes. Monthly remittance volumes in the EU have topped $20M and the company has reached over 70,000 active users.
Rewire partners with pan-European cash network Paysafe to provide Rewire customers with 200,000 locations where they can deposit cash into their Rewire accounts, a major advantage over competitors who do not accept cash.
In Q1 2022 the company is launching two additional partnerships:
- To serve as the exclusive remittance provider for an institution with 3-5 million customers, mainly migrants;
- With AIG, a leading global insurance organization, that will allow Rewire to provide insurance for customers across Europe.
All major existing investors are expected to participate in this $30M Series B. Existing investors include Viola, Moneta, Renegade Partners, Glilot Capital, BNP Paribas, Standard Bank of South Africa, and Yahoo! Co-founder Jerry Yang.
Proceeds from this round will be used to fuel Rewire’s continued expansion throughout Europe, expansion into new regions, and new products.
Meet the CEO
We’re hosting a webinar/conference call on Wednesday, January 26th, at 7PM Israel / 12 Noon New York / 9AM San Francisco for investors to meet CEO and Co-Founder Guy Kashtan and learn more about Rewire.
Can’t make the webinar? Register and we will send you a recording of the call.
The Rewire Solution
Rewire provides customers with a free debit card that features no annual fees, no ATM withdrawal charges, and very attractive exchange rates. Customers receive a European IBAN account, giving them access to additional international financial services, including enabling direct deposit of salaries.
Customers can fund their accounts via bank transfers, cards, or depositing cash. They use the app to determine how much to send to whom. Money can be transferred to bank accounts, mobile phones, mobile wallets, bill payments, or cash outlets.
The company has also developed a chatbot that helps users check balances, keep track of where payments are, and see current rates. Rewire also employs customer service representatives who speak the native languages of the corridors they send to, allowing users to call and get customer service in their native tongue.