Australia enjoys spike in fintech investment
Australia along with the rest of the world enjoyed a spike in fintech investment during the second quarter of 2017, according to the latest Pulse in Fintech report by KPMG which was released last month.
The report shows that Australian fintech investment jumped to more than $100 million in the second quarter, the nation’s best result since quarter one of 2016.
Two major deals were behind the jump:
- The $50.6 million acquisition of Rubik Financial Limited, a Sydney-based software provider to the financial services sector in Australia, by Temenos, a Swiss-based software specialist for banking and finance.
- The $48 million acquisition of North Sydney-based payments company Paycorp by accounting software company MYOB
These two deals were among the top ten in Asia in the quarter.
The Pulse of Fintech report states: Following three relatively lackluster quarters, the global fintech market rebounded strongly in Q217, with investment more than doubling quarter over quarter to $8.4 billion.
While the number of fintech deals remained well off of the peaks experienced in 2015, deal volume remained healthy during Q2 with 293 transactions.
On the Australian environment, the report stated: Fintech transactional activity continues its recent volatility in Australia, with a spurt upward in volume nearly to the peak seen in Q216. Moreover, deal value also rebounded, unsurprisingly.
Rubik Financials AUD68 million acquisition by Temenos had a considerable impact there.
Below is the relevant Australian chart from the report.