When Female Invest launched in 2019, it did so with the purpose of making a neighborhood the place girls who wished to put money into the inventory market, however weren’t positive the place to begin, might achieve the information and confidence to make the leap. Now, its customers shall be in a position to take action all inside the Feminine Make investments platform.
The Copenhagen-based startup introduced the acquisition of fellow Danish fintech Gaia Investments this week with plans to combine the buying and selling platform, which focuses on investing in corporations with sustainability targets, into its app. The acquisition worth of Gaia was undisclosed, however the startup raised at a $3 million valuation, three months previous to the transaction, Feminine Make investments informed TechCrunch.
For Feminine Make investments co-founder and associate Camilla Falkenberg, including the flexibility to take a position immediately by Feminine Make investments is a good subsequent step for the subscription edtech platform.
“Since day one, we now have all the time been very targeted on constructing the options and merchandise that have been requested by our neighborhood,” Falkenberg mentioned. “And we get requests day-after-day for the likelihood to commerce immediately by us.”
She added that she thinks the platform will get that request so actually because its customers belief it. A current survey of consumers discovered that 96% of them would belief Feminine Make investments with their cash greater than their financial institution.
Feminine Make investments has spent the final yr build up the corporate in a option to extra simply combine buying and selling, too. Falkenberg mentioned since they raised their $4.5 million seed spherical final November, they’ve constructed out an app, expanded their tech staff and raised a further $3 million in funding.
However after they got here throughout Gaia Investments in July, they realized it would make extra sense, and save time, for Feminine Make investments to associate with an current buying and selling platform versus constructing their very own.
“Gaia has a powerful model right here within the Nordics and such a powerful give attention to ethics and sustainable investing, one thing we’re additionally very excited about,” she mentioned. “Because the talks progressed, it turned increasingly clear it was an ideal transfer for us.”
The staff at Gaia felt the identical means, Mads Sverre Willumsen, a co-founder and CTO informed TechCrunch.
“We knew Feminine Make investments and noticed the journey they’d been on previously three years,” he mentioned. “After we talked and noticed we had alignment, the choice was not that troublesome.”
The 2 corporations additionally shared comparable founding tales — each regarded to create an investing product that they felt was wanted and didn’t exist.
For Feminine Make investments, it was in 2019 when the founders realized there wasn’t useful resource that taught girls begin investing. For Gaia, it was when co-founder and CEO David Bentzon-Ehlers’s mom requested him in 2020 if there was a secure place to put money into sustainable corporations, and his realization that the platform she was in search of didn’t but exist.
Whereas it isn’t tremendous widespread for startups to get acquired so early in life — Gaia had simply accomplished a TechStars accelerator program a couple of months earlier — Sverre Willumsen mentioned the transaction made sense for Gaia as a result of they have been extra excited about increasing the attain of their product than being startup founders.
“I didn’t turn out to be a founder within the first place to be a founder,” he mentioned. “I did it as a result of it was a chance to make a number of innovation and a distinction for folks fairly rapidly.”
The present Gaia customers shall be offloaded — with their cash returned in full — within the close to future because the platform begins to combine into Feminine Make investments. Falkenberg mentioned from there they don’t have a particular launch date but for Feminine Make investments customers, however that the flexibility to commerce will launch first within the European Union and within the U.Ok. after that.
Consolidation of early-stage startups has been a rising pattern this yr, and because the fintech sector has struggled in 2022’s uncertainty, it appears sensible that a few of these smaller corporations will mix to keep away from getting left behind. I’m positive we are going to begin to see extra of this heading into subsequent yr.
For Feminine Make investments although, the long-term plan, no matter market circumstances, is all falling into place.
“Our imaginative and prescient is to create a particularly user-friendly, and simple to navigate, platform with a give attention to sustainability to put money into the values that matter to them,” Falkenberg mentioned. “Now we have a really loyal consumer base who’s simply ready for us to launch the subsequent product which is a good start line.”