Modulr Makes Strategic Acquisition of Nook
Deal News | Nov 19, 2024 | Highland Europe (UK) LLP
UK fintech firm Modulr has announced its acquisition of London-based Nook, marking its first acquisition deal. Backed by PayPal and Highland Europe, Modulr offers an embedded payments platform and holds an Electronic Money Institution license. Its annual transaction processing exceeds 200 million transactions and £100 billion in payment value. Nook specializes in accounts payable workflow, providing full invoice lifecycle management, which will complement Modulr's payment execution capabilities. Modulr's CEO, Myles Stephenson, emphasized that acquiring Nook was a strategic choice to expedite market entry instead of building the service in-house. Four Nook employees will join Modulr as a part of the expansion. Stephenson also mentioned the potential for future acquisitions, contingent on suitable opportunities. Previously, Modulr undertook a fundraising round of £83m in 2022, led by General Atlantic and included investors such as Blenheim Chalcot, Frog Capital, Highland Europe, and PayPal Ventures, which is expected to sustain Modulr until profitability.
Sectors
- Fintech
- Financial Services
Geography
- United Kingdom – Both Modulr and Nook are based in the UK, making it the geographical focus of the acquisition.
Industry
- Fintech – The acquisition involves fintech companies Modulr and Nook, focusing on payment infrastructure and accounts payable solutions.
- Financial Services – Modulr provides electronic payment services under an Electronic Money Institution (EMI) license, making financial services a relevant classification.
Financials
- £83m – The amount raised by Modulr in a funding round in 2022.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Modulr | Target Company | Company | A UK-based fintech firm specializing in embedded payment solutions. |
| Highland Europe | Investor | Company | A private equity firm that has invested in Modulr. |
| Nook | Acquired Company | Company | A London-based company focused on accounts payable automation. |
| Myles Stephenson | CEO | Person | CEO and founder of Modulr, overseeing its strategic direction. |
| PayPal Ventures | Investor | Company | Venture capital arm of PayPal, one of the investors in Modulr. |
| General Atlantic | Lead Investor | Company | Led the most recent fundraising round for Modulr. |