Lebara UK deal fast-tracks Rewire's European growth
Lebara's exclusive partnership offers its millions of users access to Rewire's financial services tailored to migrant workers
"By working with Rewire, we can continue to add value and great choice for our customers"
– Ben Dowd, COO, Lebara Group
- Lebara, Europe's most popular pre-paid mobile provider, to promote Rewire to its millions of users in core target market throughout Europe
- Israeli financial services startup operates in 20 European countries offering online cross-border financial services including digital wallet, insurance, global remittances, and debit cards to the world's 270M unbanked migrants
- Processing ~$1B every year for over 600K registered users. 300% YOY revenue growth 2020-21 in main markets, 100% YOY increase in transfer volumes in main markets 2020-21; EU monthly remittance volumes above $20M
- Revenue increase expected from partnership with pan-European cash network Paysafe to provide customers 200K deposit points for cash into Rewire accounts, significant advantage vs. competitors who do not accept cash
- Launched partnership in Q1 2022 with leading global insurer AIG
- $30M strategic round led by Migdal Group; existing investors include Viola Fintech, Moneta Capital, Renegade Partners, Glilot Capital, Opera Tech Ventures, the VC arm of BNP Paribas group, Standard Bank of South Africa, Yahoo! Co-founder Jerry Yang
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Dear Josb,
Lebara Mobile, the go-to value SIM provider for migrant workers in the UK and Europe, will offer its millions of users Rewire's online financial services in an exclusive partnership announced on April 4th, paving the way for Rewire's further expansion in Europe on its way to creating a holistic package that includes everything a migrant needs.
Investors can still participate in Rewire's $30M strategic round on the OurCrowd platform. The details here are based on information received from, and verified solely by, Rewire.
Partnership with Lebara
The partnership agreement gives Rewire access to Lebara's UK and EU customer base with the opportunity to fast-track its growth in the UK and the option to push further into the EU.
Lebara Mobile has presence across the UK and Europe, offering value SIM-only and pay-as-you-go plans for budget users, ideally suited to the millions of migrant workers in the region.
Lebara customers in the UK will have access to remittance services powered by Rewire and Rewire will provide SIM cards powered by Lebara to its customers. The exclusive partnership gives Lebara customers £5 credit on their Rewire account, three fee-free money transfers and a preferential FX discount on their first remittance.
"We're delighted to be partnering with Rewire," says Ben Dowd, COO of Lebara Group. "It's a great opportunity to provide our customers with valuable financial services. Today's customers are increasingly looking to manage their finances through their phone and by working with Rewire, we can continue to add value and great choice for our customers."
The partnership will provide future access to a range of other Rewire services aiming to promote financial inclusion for migrants. In addition to money transfers, the financial services platform offers debit cards, IBAN, insurance and the ability to make cross-border bill payments.
The deal also paves the way for Rewire's European expansion, when Lebara rolls out the service to the rest of its European customers later this year.
Financial Services for Migrant Workers
Rewire solves two urgent problems for migrant workers: it provides them with a way to accumulate and use digital cash, eliminating the risk of keeping large amounts of cash on hand, and a convenient, low-cost way to send earnings to family in their home countries.
Rewire partners with banks in receiving countries, allowing clients to access additional financial services, develop their financial history while abroad, and have a significant relationship with a local bank on their return home.
Rewire offers lower fees than competitors and a superior user experience, and provides budgeting and other money management tools in its app. Rewire is developing additional financial services for customers including family cards, insurance, and credit.
Commercial Traction
Rewire is enjoying rapid growth. Its revenue grew 300% YOY in 2021 and transfer volumes increased 100% YOY in its main markets. Monthly remittance volumes in the EU topped $20M. Rewire processes ~$1B every year for its more than 600K registered users.
New Partnerships
In Q1 2022 the company launched a partnership with AIG, a leading global insurance organization, that will allow Rewire to provide insurance for customers across Europe.
Rewire partners with pan-European cash network Paysafe to provide customers with 200K locations where they can deposit cash into their Rewire accounts, a major advantage over competitors who do not accept cash.
The Round
All major existing investors are expected to participate in this $30M strategic investment round led by new investor Migdal Group. Existing investors include Viola Fintech, Moneta Capital, Renegade Partners, Glilot Capital, Opera Tech Ventures, the VC arm of BNP Paribas group, Standard Bank of South Africa, and Yahoo! Co-founder Jerry Yang.
Proceeds from this round will be used to fuel Rewire's continued expansion throughout Europe, expansion into new regions, and new products.
Meet the CEO
Listen to a recent investor conference call with CEO and Co-Founder Guy Kashtan and learn more about Rewire HERE.
Listen to a recent online event featuring Guy Kashtan and Yahoo! Co-founder Jerry Yang HERE.
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