Competition in the European fintech market has become more intense with the emergence of Param, one of Turkey's largest fintech companies。In order to develop a broader market, it acquired Tisto, a company with operations concentrated in Central and Eastern Europe, in the buy-before-pay (BNPL) segment.。

Param moves into Europe, buys Twisto

Twito, one of the leading fintech companies in the Czech Republic, was acquired from its former owner Zip Co.。This strategic move not only awakens Twito's future, but also enhances its financial stability and growth potential, and will be profitable in 2023.。

Param, which currently offers domestic and international transfers in the UK, will now expand its reach.。With this acquisition, it aims to expand its services into Twito's key markets, including the Czech Republic, Poland, Germany and the Netherlands.。

With the support of world-renowned equity firms such as EBRD and RevoCapital, Param has provided countless financial solutions.。These range from advanced payment solutions, open banking, customer loyalty programs to its proprietary BNPL service Kredim。Through combined expertise, Param and Twisto serve more than 85,000 merchants and connect with well-known brands in Turkey and other parts of the world.。

Emin Can Yılmaz, founder and CEO of Param, commented: "Europe is our core focus and we will continue to implement a bold, healthy and sustainable expansion strategy.。"Our proven business models and innovative solutions have set the gold standard, and we are excited to introduce our technology and embedded financial solutions to eight markets across Europe."。"

Mutual Benefits of Acquisition

Param is Turkey's first electronic money institution and holds four different card types.。Twito, meanwhile, is one of the frontrunners in the introduction of the BNPL model to the Czech Republic, with more than 33 million transactions now worth nearly 8..€4.5 billion。

Their collaboration aims to create customized products that meet the needs of different industries.。Param's main focus is on its B2B2X proposition, targeting the whole of Europe.。The sector is expected to grow exponentially, with global annual revenues expected to reach $440 billion by 2030.。Meanwhile, Twito plans to further diversify its product range。

What's more, Param has shown profitability since 2014.。Up 90% year-on-year last year, with transactions worth more than €4.2 billion。

Michal Šmída, CEO of Twito, commented: "Param is the partner we found that has proven time and time again the strength of its business model and its desire for payment innovation.。"We are confident that with this expertise, Param will make a significant contribution to the further sustainable development of Twisto."。"

Fintech in trouble？

Param is increasingly important in the European market, while financing in the region has slowed sharply.。The first half of 2023 is more than half of the previous period.。

In the second half of 2022, fintech financing amounted to $63.2 billion, involving 2,885 transactions.。However, according to the "Pulse of Fintech" published by KPMG, there was a decline in the first half of 2023, with financing falling from 2,153 transactions to $52.4 billion, indicating a significant decline in both total financing and the number of transactions.。

A report released in early July by Innovative Finance further validates these findings.。Its data show that the total capital investment of 1,714 transactions was $27.3 billion, down 14% from the second half of 2022.。Globally, fintech funding fell by 30% to $95 billion for the year.。