Payment company Mollie is now ranked as Europe’s third-largest fintech brand after a massive $800 million funding round valuing it at $6.5 billion.
The company has come on leaps and bounds after being relatively unknown before Covid-19, becoming a “unicorn” last September.
Mollie was founded in 2004 by Dutch entrepreneur Adriaan Mol as a text messaging business, however changed directions and became a payment provider after trying to integrate its system for clients to pay invoices.
“I was amazed at how badly that was built by the traditional banks,” Mol told CNBC.
“We created this abstraction layer to the complex systems of the banks. That was the start of our payment business.”
Mollie’s new chief executive Shane Happach, who recently took over from Mol as company chief executive said the company opted to grow organically for a few years before accepting external funding in 2019.
After which, Mollie became inundated was investor offers according to Happach.
“We’re trying to build a $100 billion company, we know that takes a long time. It’s capital-intensive.”
Mollie is under fierce competition from its rivals which include Jack Dorsey’s Square and PayPal in a market which is valued at £2 trillion.
However unlike its rivals, Mollie deals primarily with small businesses in Europe.
“A lot of the bigger players in online payments come out of the U.S., like PayPal,” Happach said. “Even Visa and Mastercard are U.S. companies.”
“A lot of investors don’t have a bet on Europe, Mollie’s one of those unique assets that offers exposure.”
Mollie’s new valuation comes just as French President Emmanual Macron last week said that he wanted Europe to produce at least 10 companies worth €100 billion by 2030.
According to data from Dealroom, European startups have already surpassed their total investment for 2020, raising €45.9 billion so far.
The pandemic saw a huge rise in the number of online payments as consumers were forced to shop online.
Mollie has since processed over €10 billion in transactions since 2020 and is on track to process a further €20 billion by the end of this year.
The company has 120,000 monthly active merchants and signs up around 500 new customers a day.
It boasts UK food delivery giant Deliveroo and Gymshark amongst its roster of clients.