Fintech/News/ Peter Thiel backs Mondu in $43m Series A Hot on the heels of its October seed round, Berlin-based Mondu’s latest raise will go towards expanding quickly across Europe By Amy O'Brien 30 May 2022 \Fintech Is it finally European insurtech’s moment in the sun? By Amy O'Brien 14 February 2023 Fintech/News/ Peter Thiel backs Mondu in $43m Series A Hot on the heels of its October seed round, Berlin-based Mondu’s latest raise will go towards expanding quickly across Europe By Amy O'Brien 30 May 2022 Berlin-based B2B buy now, pay later startup Mondu has won the backing of Peter Thiel’s Valar Ventures as lead investor in its $43m Series A — a mere seven months after its seed round. What does Mondu do? Mondu is part of a new wave of B2B buy now, pay later (BNPL) fintechs that provide loans to businesses rather than consumers — and is proving red hot among VCs even in the current climate. Just last week, there were two other funding announcements from fintechs in the sector — Tranch and Previse. B2B BNPL is designed as a short-term financing tool to help companies manage their cash flow. Mondu has built a payments product that gives online SME merchants and marketplaces flexible payment options at checkout. Who’s investing in Mondu? US-based Valar Ventures, PayPal cofounder Peter Thiel’s VC firm, led the round Existing VCs Cherry Ventures and FinTech Collective also participated… … along with angels from leadership at Klarna, Zalando and SumUp What’s the B2B BNPL market like? There are nine B2B BNPLs in Europe right now, including new entrants Tranch and Previse Billie, also based in Berlin, is the most well-funded player, valued at $640m after raising a $100m Series C last October. B2C BNPL king Klarna invested in that round, and gave Billie a big boost by choosing it as its partner for the rollout of a B2B side to its business. London-based Hokodo raised a $12.5m Mosaic Ventures-led Series A last summer to become the “Klarna for B2B”, through many of the same methods as Billie and Mondu. When Sifted asks cofounder and co-CEO Malte Huffmann how Mondu differs from Billie and will manage to capture market share, he says the company believes B2B BNPL is “still a blue ocean opportunity” where there’s “enough space for multiple players to become very sizeable.” Mondu estimates that the B2B BNPL market will grow to $200bn in Europe and the US in the next few years. What’s next for the company? Mondu plans to expand into more European countries later this year, beginning with Austria this summer. Huffmann says that Mondu will be hiring “aggressively” going forward but wouldn’t put a number on it. Its current team stands at 100. The company is remote-first, but its team will mainly be located in Germany. Sifted’s take Don’t expect investor interest in B2B BNPL tail off anytime soon — but startups in the space will need to start differentiating to really stand out. Can Mondu demonstrate that it has something Billie doesn’t? We’re experimenting with a new format for news. What do you think? Let us know Amy O’Brien is Sifted’s fintech reporter. She coauthors Sifted’s Fintech newsletter and tweets from @Amy_EOBrien. Related Articles 7 insights from our panel on Gen Z finance By Poppy Koronka Click here to read more Open data: What it is, and what it means for fintech and beyond Sponsored by Moneyhub Click here to read more Ranking: French tech startups to watch in 2022 By Federico Scolari Click here to read more 6 things we learned at Disruption Forum Fintech 2021 Sponsored by Netguru Click here to read more Most Read 1 \Healthtech Is Daniel Ek’s new body scanner worth the hype? Sifted tried it out 2 \Venture Capital VC diversity needs to change — and white men need to take responsibility 3 \Venture Capital New €3.75bn European Investment Fund pot to back late-stage VCs 4 \Sustainability Counteract closes £15m fund for carbon removal solutions 5 \Mobility Was the $5bn that VCs plugged into escooters worth it?