Santander has announced it will participate in a £550 million raise by cross-border payments FinTech Ebury, growing its share of the company to 55 per cent.

Santander bought a 50.1 per cent stake in the company in 2020 for £350 million, becoming its majority shareholder.

Santander said it will invest £50 million, with the remaining funds coming from investment firms Centerbridge Partners, which leads the rounds, Vitruvian Partners and 83North. The rounds will be executed in two separate transactions, subject to customary regulatory approvals.

The company expects this further investment to increase its CET1 capital, the highest quality capital held by a financial institution, by four basis points.

The proceeds will be used to accelerate growth through product development and geographic expansion, with a focus on scaling the business and using AI to improve payment processing, optimise foreign exchange solutions and enhance the customer experience.

The bank said Ebury plays a strategic role as its SME cross-border payment platform and a key source of product innovation.

The FinTech operates in 30 regulated markets, and serves over 27,000 businesses worldwide, enabling payments in over 140 currencies across 160 countries. It has grown its revenues by over 30 per cent per annum since Santander’s 2020 investment.

“These transactions support both Ebury’s continued growth and Santander’s focus on disciplined capital allocation and value creation,” said Ana Botín, Santander’s executive chair. “The additional investments will enable Ebury to scale faster and enhance its offering to SMEs globally. The new partners also add significant strategic value, combining complementary expertise to accelerate growth and maximise the platform’s long-term potential.”

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