wefox raised US$110m; $55m from J.P. Morgan and Barclays

Berlin-based insurtech wefox has raised US$110m in Series D funding, securing a $55m credit facility from J.P. Morgan and Barclays

Insurtech wefox has raised US$110m in its latest Series D funding round at a market value of $4.5bn. Investment consists of $55m in equity from new and existing investors – including Squarepoint Capital – and a $55m rolling credit facility from J.P. Morgan and Barclays.

Strong performance equals strong investment

The insurtech says this latest round of funding underlines the strength of its business model and a “clear focus” on a path of profitability.

New investment in wefox comes on the back of a strong Q1 2023 performance and is earmarked to fund the company's insurance and distribution business. This includes its new global affinity business launched earlier in May 2023, introduced to increase wefox’s existing distribution network and extend its ability to deliver insurance products through partners. The new investment will also be used to further develop the insurtech’s technology platform.

Prestigious backing

Julian Teicke, CEO and Co-Founder of wefox, noted the significance of investment from the likes of J.P. Morgan and Barclays. He said: “We are delighted to have two of the world’s most prestigious financial institutions – J.P. Morgan and Barclays – supporting our business, which strengthens our plans to enhance our insurance and distribution capabilities whilst building our platform.

“The second close of our Series D round ensures we continue focussing on building an international business with a strong path to profitability. We have already taken important measures to fortify our business for the future and early Q1 2023 financial performance shows that we are in good shape to navigate the challenges ahead and continue our international growth in a sustainable way.”

Fabian Wesemann, CFO and Co-Founder of wefox, added: “The market environment has shifted significantly over the last 18 months and we have enhanced our operating model to capitalise on this new reality.

“In addition to our new investors in this second close, we are also pleased to have secured the credit facility from J.P. Morgan and Barclays, which gives us tremendous confidence in steering the company towards profitability with a clear focus on unit economics.”

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