SBI Holdings agreed to take a stake of more than 70% in Solaris as part of a new fundraising round for the struggling German fintech company that will slash its valuation, according to a person familiar with the matter.
Solaris secured about €100 million ($103 million) from SBI for the stake and it will also raise money from German exchange operator Boerse Stuttgart Group and existing investors, bringing the total funds raised to about €150 million, the person said, asking not to be identified discussing internal information. Other elements such as new AT1 bonds are also part of the deal, the person added.
"A group of investors and partners have developed a coordinated financing concept that has been submitted to our shareholders for approval,” a spokesman for Solaris said by email on Monday, without identifying the investors. The agreement is expected to be finalized this month, he added.
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