Cross-border payments network Earthport has raised £26.6 million through the placing of 65 million shares with a mix of new and existing institutional investors.
The AIM-listed company says the funds will be used to accelerate geographic expansion and presence in Asia, as well as to strengthen the balance sheet in anticipation of new deals in the pipeline.
New shareholders include Oppenheimer Funds (New York) which will hold 8.62% of the enlarged issued share capital
In a statement, the company says: "The funds raised will facilitate accelerated geographic expansion through infrastructure and presence in some of the fastest growing markets for cross border payments. In particular Earthport will bring forward its plans to develop a presence and capability to address the significant and fast growing intra-Asian and Asia-outbound opportunity."
Earthport has so far secured cross-border processing deals with two of the top five banks globally, and four of the top 20 banks in the US. The new cash on hand should reassure regulators and banking prospects about the company's financial security as it works through its pipeline of opportunities.
The London-based firm says it remains on course to reach breakeven on a run-rate basis before the end of this financial year for its current businesses.