Canadian Fintech: Who are banks partnering with? 🤝
Chexy goes beyond rent. Nuvei & Nesto deals finalized. TD tech banking gets a rebrand.
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💰 Funding
Chexy, a “pay rent by credit card” service, raised $4.1m and is expanding into complementary residential payments like utilities.
They raised $1m exactly one year ago.
Finalta Capital, a tax credit and government grant lender, raised $31m.
Canadian lenders Venbridge, Easly & Boast offer similar business financing products.
🤝 M&A
Nesto officially acquired CMLS, Canada’s 3rd largest non-bank mortgage lender. I’m curious to see how this integration will unfold:
CMLS has a large commercial mortgage book, which is a new product for Nesto.
CMLS also operates a lending software business called Intellifi, which it licences to other lenders like National Bank, Alterna & DUCA.
I wrote about the justification for this deal earlier this month here.
Executives from Fiera Capital, a Quebec based independent asset manager, bought out Desjardins’s investment stake in the company for $53m.
Fiera was originally spunout of Desjardins in 2003.
Nuvei’s nearly $9b acquisition by private equity group Advent was finally approved by shareholders.
✨ Bank Partnerships
Home Trust will start originating mortgages that have a shared equity down payment with Ourboro.
Equitable Bank & Community Trust already do so.
RBC is Canada’s second bank to start using Nova Credit’s foreign credit bureau data to underwrite new Canadians.
Scotiabank has been using them for a year.
Equitable Bank has selected Fundmore as their loan origination system (LOS).
🚀 Product
Borrowell will allow renters to report two years of past rent payments to Equifax.
KOHO now allows users to deposit cash at Canada Post through a partnership with PaymentSource.
Blossom, an app for retail investors to share stock tips hit $1m in revenue.
I’ll be at their Toronto investor social on Tuesday. Come say hey!
TD launched a new tech banking unit called TD Innovation Partners.
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Have a great week! See ya 👋