Germany-based embedded finance platform Solaris has secured €96m capital and a financial guarantee of up to €100m capital equivalent in its extended Series F financing round.
The extended financing round is led by SBI Group and other existing investors and will enable the delivery of the ADAC (Allgemeiner Deutscher Automobil-Club) migration.
In addition to onboarding the ADAC credit card programme, Solaris intends to use the funds to strengthen its core capital and invest in the resilience of its platform.
Solaris CEO Carsten Höltkemeyer said: “This is a significant milestone for Solaris on our path to sustainable, profitable growth. The funding underlines the high level of confidence our investors have in the transformation of our company.
“2024 heralds a bright new chapter for Solaris and we are committed to delivering on our business priorities, enhancing the product offering for our partners and making regulatory compliance our USP.
“I am proud of our team, which is passionate about defending and extending our market leadership. Together, we will now build a new Solaris.”
In September 2022, Solaris signed a long-term agreement to become ADAC’s co-branding credit card partner and has issued more than 1.2 million credit cards.
In July last year, Solaris secured €38m in the first close of its Series F round, led by existing investors, to strengthen governance and compliance and support its next phase of growth.
Solaris said that the funding will help the company achieve profitable growth and focus on core vertical markets, in line with its 5-year strategy.
As global brands are looking to begin their embedded finance journey, its offering will provide accessible and scalable products, such as cards, accounts, and lending, said the company.
Established in 2015, Solaris offers a unique modular B2B tech stack and scalable licensing system that enables its partners to offer customer-centric financial services.
The banking and EMI-licensed tech company currently has more than 750 employees at ten locations in Europe and India, with net revenues of €130m in 2022.
Solaris supervisory board chairman Ramin Niroumand said: “Since its inception, Solaris has set a new industry benchmark, laying a foundational infrastructure driving embedded finance in Europe.
“Carsten and his team are leading the company through a challenging market and have proven the resilience of the Solaris business model.
“The ADAC deal and fresh capital injection are proof of Solaris’s successful transformation, reaffirming the confidence of investors in the company’s future strategy.”
