The Lithuanian startup TransferGo, specialising in international remittances, has received a new investment. The company will use USD 2.9 million worth of investments to help grow their market share following a second round of investment from the Swedish venture capital fund manager Vostok Emerging Finance.
“TransferGo, one of Lithuania’s largest startups, has attracted a total of about USD 10.55 million in risk capital investments,” states a press release circulated by the company. According to Daumantas Dvilinskas, Executive Director of TransferGo, the company has received additional funding thanks to excellent results achieved in their share of the market. Over the last 12 months, the company’s income has increased twice, and its market shares in the Baltic countries, as well as Central and Eastern Europe, have grown. One of the most important reasons for this growth is increased popularity of the fast money transfer services TransferGo provides. Bank transfers to different countries may take more than two days; however, the FinTech startup aims to cut down this time, and does so at a lower price than its competitors.
“When money travels between banks of different countries, it can spend two and more days in one ‘stop’, and chances are that the money might have to go through more than one such stop before reaching its final destination. Therefore, a money transfer travels to its destination slowly, and it is costly for the sender. Using the TransferGo platform makes it possible to remit money within 30 minutes, and sometimes even within several minutes,” explains Mr. Dvilinskas. “So far, we provide this in 13 European countries. Our next step, though, is to make it possible for people to send money to any bank in the world, in real time”.
The company currently operates in 45 countries. Through its platform, approximately GBP 15 million is remitted each month. In the next five years the company plans to expand outside of Europe; for example, in Asia, where the interest among business customers has grown exponentially. TransferGo is one of the largest startups in Lithuania. Since its inception, it has attracted USD 10.55 million in investments from the likes of Practica Capital, Vostok Emerging Finance, and several private investors. TransferGo has over 250,000 loyal customers who regularly use the money transfer service. Currently, the company has 70 employees, whereas in the near future the team is expected to grow to 100 or more employees.