MODIFI acquires PrimaDollar’s export trade finance business, PrimaDollar to focus on supply chain trade finance
- PrimaDollar today announces that its business will, from now on, be wholly focused around its increasingly successful supply chain trade finance technology platform.
- MODIFI becomes the leading digital trade finance platform supporting SMEs globally
Amsterdam & Mumbai, February 24, 2021 — PrimaDollar has made the strategic decision to focus on its category-leading supply chain trade finance platform. This is an enterprise, SaaS, technology solution that enables large and mid-sized importers to take control over how their international suppliers are funded and paid. With the increasing success of this platform and focus on larger clients, PrimaDollar’s board has determined that its existing export customers, who are typically SMEs, will be better served by moving across to one of the dedicated export trade finance specialists operating with a similar geographic footprint. PrimaDollar selected MODIFI after a full market review.
The sale of PrimaDollar’s export trade finance business to MODIFI has now completed. The transaction only relates to future business, with PrimaDollar retaining its current outstanding trade finance book.
MODIFI provides trade finance to businesses across the world on a single digital platform. The company has offices in Amsterdam, Berlin, New Delhi, Shenzhen, Hong Kong and Dubai. With digital onboarding and a paperless platform, customers can get working capital in a matter of days. MODIFI pays exporters’ outstanding invoices and covers the risk of buyer defaults.
Tim Nicolle, CEO of PrimaDollar, commented that “We believe that MODIFI is the international digital trade finance company best placed to ensure that our export finance customers across South and East Asia will continue to receive exemplary service and a reliable source of low-cost liquidity in support of their international trade. We continue to be excited by the enormous growth potential open to us in trade finance potential that has increased substantially during the pandemic. We are expanding quickly and expect to be an ever-growing part of the trade finance landscape.”
Nelson Holzner, CEO and Co-Founder of MODIFI, commented “MODIFI is delighted to take on PrimaDollar’s export trade finance customers in a deal which is fully aligned with our mission to enable global trade. This is a significant milestone for MODIFI as it establishes us as the leading global digital trade finance platform supporting small and medium-sized exporters and importers. In the next few weeks we’ll be working hard to ensure a smooth transition and provide our new customers with excellent service to support their growth”.
PrimaDollar is a UK-based fintech with offices across South and East Asia, focused on making international trade finance work more efficiently for importers and exporters. PrimaDollar’s category-leading technology platform enables larger and mid-sized importers to take control over how their international suppliers are funded and paid. Major importers around the world are moving onto the platform enabling their international suppliers to trade on open account but with a low-cost option to get paid at shipment. Processing trades across our platform typically saves importers up to 2% or more on landed costs compared to the alternatives of using a letter of credit or asking suppliers to accept long deferred payment terms.
MODIFI is solving global Trade Finance for small and medium sized businesses (SMEs). Founded in 2018, MODIFI is tackling a $20 trillion industry in which 50% of requests for Trade Finance by SMEs are rejected by banks, resulting in a funding gap of $1.5 trillion annually. Through its paperless online platform, the company empowers businesses to grow, fostering strong international partnerships and benefitting local economies. To see how small and medium sized businesses can benefit from MODIFI’s digital Trade Finance, visit www.modifi.com or follow us on LinkedIn and Twitter.
Image (c) MODIFI