Paris-based Lydia, the payment startup has announced that it has raised $45 million in Series B funding round led by Tencent Holdings. Existing investors CNP Assurances, XAnge and New Alpha also participated in the financing.
Before this round, Lydia has snagged $16.1 million in a venture round in February 2018 when CNP Assurances had led the round. The current infusion takes the total amount raised by the company to $73.7 million. Le Groupe Financière Duval, Oddo & Cle and a few others have also infused capital in the firm.
Lydia was founded in 2013 by Antoine Porte and Cyril Chiche. The firm has developed a mobile app that allows users to make payments to anyone easily. The app is one of the leading payment platforms across France among the millenials.
The firm has more than 3 million users in France with 25% of them ranging from the age group of 18-30. However, while it has made itself accessible in other parts of the Europe, it has not been able to gather a lot of users in other parts. With the help of this round of financing, Lydia might just try doing that.
Cyril Ciche, the CEO of the firm talking about the financing said, "With the new funding round and a partner like Tencent, who will help us save a lot of time and avoid costly mistakes in this scaling-up phase, we have all the reasons to be very ambitious. We are now in a position to challenge the traditional retail banking distribution model with a mobile platform model similar to what we see in sectors like retail, music or travel."
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