Danish SME neobank kompasbank raises €5.5m

By Gloria Methri

kompasbank, the innovative digital business bank, has secured €5.5 million in fresh capital. This latest injection is part of an ongoing effort to accelerate the bank’s expansion in serving small and medium-sized enterprises (SMEs) across Denmark and beyond.

The capital injection will support growth in the bank’s lending portfolio and accelerate the development of new products and services aimed at making it a full-service corporate bank.

With a capital injection of DKK 40 million from primarily existing investors, kompasbank can now become even more firmly entrenched in the SME segment, which in Denmark alone numbers beyond 247,000 companies.

The fundraiser is part of the bank’s growth plans and ensures that the SME-focused bank can grow its lending portfolio in Denmark and Spain. At the same time, the expansion and launch of several business products and services, including leasing, currency and payments, are being accelerated.

“Over the summer, we have opened up a wider value proposition so that in addition to financing, we can also start acting as a full-service bank for the SME segment. The new capital must be used concretely to grow our lending portfolio and get even closer to our customers because we can now solve more and more of the needs they have for an operating bank,” said kompasbank’s founder and CEO, Michael Hurup Andersen, who is pleased with the trust that the investors with the capital injection show towards kompasbank’s concept and independent banking platform.

Since December 2022, Kompasbank has raised DKK 270 million in capital and collected DKK 480 million in a Series A and Series B round. Over the years, kompasbank’s products have increased lending to the SME segment by 11.4 percent. As a result, net torrent and fee revenues in the first half of 2024 have grown by +36 percent, while the bottom line has improved by +60 percent.