kompasbank Secures €5.5 Million to Fuel Expansion and Strengthen SME Services

Investors continue to support kompasbank’s growth journey, contributing an additional EUR 5.5 million to the digital business bank. This capital injection aims to accelerate the growth of the Danish bank’s lending portfolio and the expansion of its products and services to become a full-service bank.

With a capital infusion of EUR 5.5 million, primarily from existing investors, kompasbank can further strengthen its position in the small and medium-sized enterprise (SME) segment, which in Denmark alone includes more than 247,000 companies.

This fundraising is part of the bank’s growth strategy, ensuring that the SME-focused bank can expand its lending portfolio. At the same time, the bank is accelerating the development and launch of additional corporate banking products and services, including leasing, overdraft facility, foreign exchange (FX), transaction banking, and payments.

“We opened for a broader value proposition over the summer so that in addition to financing, we can now begin to operate as a full-service bank for the SME segment. The new capital will specifically be allocated to grow our lending portfolio and get even closer to our customers by addressing more of their day-to-day banking needs,” says kompasbank’s Founder and CEO, Michael Hurup Andersen, who is pleased with the trust investors have shown in kompasbank’s concept and independent banking platform through this capital infusion.

Since December 2022, kompasbank has raised EUR 36 million in capital, reaching a total of EUR 64 million in Series A and Series B funding rounds.

Strong demand for kompasbank’s products has increased lending to the SME segment by 11.4 percent year-to-date. As a result, net interest and fee income grew by over 36 percent in the first half of 2024, while the bottom line improved by more than 60 percent.

Read more about kompasbank’s half-year report here.