MangoPay to conquer the world

MangoPay via a post on LinkedIn, looks back on its year 2022. A year signed under the sign of growth, a takeover, an acquisition and a roadmap based on an internationalisation strategy.

FACTS

• Founded in 2013 and based in Luxembourg, MangoPay is a provider of payment solutions for marketplaces and participatory finance platforms.

• The player has unveiled its 2022 business figures, which show a solid performance with over 35% growth:

  • Total transaction value in 2022 exceeded €11.3 billion

  • 243 new customers were added this year, or almost 1 customer per working day.

  • The company's 2,500 customers include several large European and international marketplaces and scale-ups such as Vinted, Chrono2, Leboncoin, Rakuten, Wallapop, Malt, etc.

  • The company is adding 100 new employees, including four management positions, and plans to hire 250 people by 2023.

  • The player also reported participating in 43 key events in 8 different countries

• In April, MangoPay announced its acquisition by Advent International, a US technology investment fund specialising in private equity, with €75 million injected into MangoPay's capital. The French banking group Crédit Mutuel Arkéa will become a minority shareholder.

• Thanks to Advent International's capital injection, MangoPay was able to maintain its 2022 roadmap by opening new offices in the UK, Poland and Sweden.

• In November, MangoPay announced the acquisition of AI fraud detection and prevention company Nethone to develop and deliver fraud prevention solutions designed specifically for marketplaces.

• Mangopay launched a new "Work From Anywhere" programme at the end of 2022, allowing anyone who has worked for more than six months to benefit from the opportunity to work remotely for up to three weeks per year from "(almost) anywhere in the world".

CHALLENGES

• To become a leader in marketplace payment solutions and expand internationally: as part of this investment, Advent is investing €75 million in equity to accelerate MangoPay's growth. Advent aims to boost its hypergrowth and internationalisation strategy. MangoPay is already present in 10 countries (3 new ones this year) and the aim is to open new offices in Portugal, and internationally, in the US and Latin America, within the year.

• Strengthen cybersecurity against fraud: the partnership with Nethone allows marketplaces to stay ahead of current and future fraud and abuse risks by protecting every step of the user journey.

• Attracting and retaining new talent: MangoPay has improved its HR policy by launching the "Work from Anywhere" programme, which allows employees to better balance their work and family plans in order to improve employee well-being. but also to attract new talent.

MARKET PERSPECTIVE

• In April 2022, Crédit Mutuel sold Arkéa Budget Insight to PSG Equity and Leetchi and Mangopay to Advent. After intensive equity investments in fintechs (Pumpkin, Budget Insight, Leetchi, Yomoni, Younited, etc.) between 2015 and 2020, Crédit Mutuel Arkéa is changing course. The banking group recently sold control of two of its "nuggets" to two American investors. It first dealt with PSG Equity to hand over the reins of Budget Insight, then approached Advent International to take over Leetchi and its subsidiary Mangopay.

• After the departure of Budget Insight, Leetchi and Mangopay, the question of the future of fintech became a serious one in the Crédit Mutuel Arkea ecosystem. The fintech Pumpkin, which was acquired in 2017, ceased operations at the end of the year due to the lack of a profitable business model. The neo-bank had 1.6 million customers and allowed for friend-to-friend repayments and also the issuing of a bank card.

• Despite the difficult situation of fintech in 2022 and the closure of several players. Crédit Mutuel, on the other hand, has no fears for Fortuneo, which is second in the market after Boursorama. Fortuneo is the only profitable online bank with a wealthy clientele that it attracts with its savings products. It has 950,000 customers, and the number of customers in the last two years has increased by 60%. Crédit Mutuel Arkea is not giving up its investments in French Tech either. At the beginning of June 2022, the bank, through its subsidiary Izimmo, became a majority shareholder in the fixed-price real estate agency Liberkeys.