2023年H1金融科技的脉动-英

Pulse

ofFintech

H1’23Global

analysis

of

fintech

fundingJuly2023/au/fintechpulseWelcome

messageThefirst

sixmonthsof2023werequitechallengingforthe

globalfintech

market.

Someof

the

challengeswereexpected–highlevelsof

inflation,

risinginterest

rates,the

ongoingconflict

betweenRussiaandthe

Ukraine,depressed

valuations,andalackof

exits;

others

werelessso,

includingthe

collapseof

severalbanks

inthe

US.•

Declining

crypto

fundinginthe

wakeofsectorKPMGFintechprofessionals

includepartners

andstaff

inover50fintech

hubsaroundthe

world,workingcloselywithfinancialinstitutions,

digitalbanksandfintech

companiesto

helpthem

understandthe

signalsof

change,

identifythe

growthopportunities

anddevelopandexecutetheir

strategic

plans.challenges,combinedwithincreasingfocus

onbroader

blockchainsolutions.•

Rapidly

growinginterest

inpotentialusecasesfor

generativeAI,

particularly

incybersecurity,insurtech,

andwealthtech.Butwhile

both

total

fintech

fundingandthe

numberoffintech

dealsgloballydroppedfrom

$63.2

billion

across2,885

dealsinH2’22to

$52.4

billion

across

2,153

dealsinH1’23,the

newswasn’tallnegative.

Despitemarketturbulence

anddeclining

fundinginboththe

EMEA

andASPAC

regions,

the

Americassawfintech

fundingclimbfrom

$28.9

billion

inH2’22to

$36billion

inH1’23.Headingintothe

secondhalfof

2023,

market

challengesareexpected

to

continue–whichcouldmakefor

anotherbumpysixmonths.

AIisexpectedto

beahottopic

ofconversation–andlikelyfunding–eveniffintech

activityremainssubdued.

Asthe

market

beginsto

stabilise,however,fundinginfintech

will

likelyperk

up.

Payments,inparticular,

iswell

positionedto

seefundingcontinueandaccelerate,

inadditiontoinsurtech

andwealthtech.Shouldmarket

conditionsimprove,M&Aactivitycouldalsostart

to

climbagainasPEinvestors

andcorporateslookfor

gooddeals.Severalfintech

subsectors

alsosawstrong

levelsoffundinginH1’23.Atmid-year,fundinginlogisticsandsupplychainfocused

fintech

waswell

aboveallpreviousannualtotals

($8.2

billion),whilethe$1.7

billion

fundinginESG-focused

fintech

wasaheadof2022’stotal.Anton

RuddenklauGlobal

Leader

of

Fintech,Partner

and

Head

of

FinancialServices

AdvisoryWhether

you’rethe

CEOof

alargefinancialinstitution

orthe

founder

of

anemergingfintech,

it’scriticalto

considerhowyourcompanycan

growsustainablyandprofitablyeveninthese

uncertain

times.

Asyouread

thiseditionofPulseofFintech,

ask

yourself:

How

can

weposition

ourorganisation

to

weather

today’s

storms

whilepositioning

for

long-term

success?Lookingback

onthefirst

halfof

2023,fintech

investorsentiment

canbecharacterised

ashighlyselective.Considersomeof

thekey

trends

we’ve

seenacross

thefintech

sector

overthe

past

sixmonths:KPMG

inSingaporeAll

currency

amountsarein

US$

unlessotherwisespecified.DataprovidedbyPitchBookunlessotherwisespecified.•

Increasing

focus

onoperationalefficiency,

sustainablecashflows,

andprofitability–both

from

investors

andfrom

fintechs

lookingto

delaytheir

nextfundingrounds.•

Continuedresilienceof

the

paymentsspace

–particularlypaymentsinfrastructure.©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse2Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.ContentsGlobal

insights•

Global

fintechfunding

analysis

(VC,PE,

M&A)•

TopfintechtrendsforH1’23Fintech

segmentsRegional

insights•

Payments•

Insurtech•

Regtech•

Cyber

security•

Americas•

EMEA•

Wealthtech•

Blockchain/cryptocurrency•

ASPAC©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse3Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

fintech

fundingin

H1’23

recorded$52.4B

with

2,153

deals©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse4Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

insightsGlobal

fintech

funding

falls

to

$52

billion

as

headwinds

persistTheentire

tech

sector

isexperiencingfierce

headwindsat

the

moment–andfintech

isnodifferent.

Thecombinationofmacro-economic

forces

likehighinflationandrapidlyrisinginterest

rates,

combinedwithfintech-specific

challenges–includingthe

collapseof

severalcrypto

firms

lastyearandthe

challengesexperiencedinthe

USbankingsector

earlierthis

year–sawinvestors

beingalot

moreGlobal

funding

in

fintech

declines

despite

solidincrease

in

theAmericasandstartup

valuationssawsignificant

downwardpressure,

investors

enhancedtheir

duediligenceprocesses

andput

alaserfocus

onsustainabilityandprofitable

businessmodels.Withfundinglesscertainandthe

cost

of

debt

rising,manyfintechs

alsotightenedtheir

belts–focusing

onimprovingtheir

operatingperformance

andcashflowsinorder

tomake

itthroughthe

downturnandbetter

attract

investors.Globalfundingfellfrom

$63.2billion

across

2,885dealsinH2’22to

$52.4

billion

across

2,153

dealsinH1’23.Q2’23results

wereparticularlysoft,

withjustunder$18billion

investedglobally

–the

lowestlevelof

fintechfundingseensinceQ3’17.Whilefintech

fundingrose

inthe

Americas,from

$28.9billion

across

1,323inH2’22to

$36billion

across

1,011

dealsinH1’23(including$34.9

billion

across

809dealsintheUS),fundingintheother

key

regionsdeclinedsignificantly.In

the

EMEAregion,

fintech

fundingdroppedfrom

$27.3

billion

across963dealsinH2’22to

$11.2

billion

across

702dealsinH1’23,while

inthe

ASPAC

regionitdroppedfrom$6.7

billion

across

583dealsto

$5.1

billion

across432deals.conservativewiththeirfundings.

WhileH2’23couldremainchallenging

for

fintechfunding,

asmarket

conditionsstabilise,fundingwill

likelyrebound.US

accounts

for

two-thirds

of

fintech

funding

inH1’23;

attracts

five

of

the

seven

$1

billion+

dealsThe

US

proved

very

resilient

in

the

first

half

of

the

year,attracting

$34.9

billion

in

fintech

funding

–

just

over

two-thirds

of

all

funding

seen

globally

–

including

five

of

theseven

$1

billion+

deals

of

H1’23

(i.e.

the

$8

billion

buyoutof

Coupa

by

Thomas

Bravo,

the

$6.8

billion

VCraise

byStripe,

and

the

$4

billion

acquisition

of

EVO

payments

byGlobal

Payments).

The

EMEA

region

and

ASPAC

regionseach

saw

one

$1

billion+

deal

during

H1’23:

In

EMEA,UK-based

energy

insights

platform

company

WoodMackenzie

was

acquired

by

Veritas

Capital

for

$3.1

billion,whilein

ASPAC,

China-based

Chongqing

Ant

ConsumerFinance

raised

$1.5

billion.Fintechs

focusing

on

improving

efficiencies

asinvestors

hold

back

amid

market

uncertaintyThefintech

market

globallywasveryslowinH1’23asmanyinvestors

heldbackfrom

allocatingcapitalgiventhe

breadth

of

headwinds.Asinflationremainedhigh,interest

rates

continuedto

climb,exitsremainedelusive,Judd

CaplainGlobal

Head

of

Financial

ServicesKPMG

International©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse5Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

insightsPayments

sector

remains

biggest

fintech

ticket,attracts

over

$16

billion

in

funding

in

H1’23of

its

SecurityAIWorkbench.1

Interest

inAIandgenerativeAI-drivensolutionsisonlyexpectedtoaccelerate

headingintoH2’23;inadditionto

cybersecurity

solutions,

bothwealthmanagementandinsuranceapplicationswill

likelybehighonthe

radarof

fintech

investors.It

isstillveryearlydayswhenitcomestothe

applicationof

generativeAIto

usecases

infinancialservices.

Butlookingforward,

itisanarea

that

isattractingenormousinterest

andinvestment–particularlyinareaslikecybersecurity,regtech,

andwealthtech.

Overthe

nextsixmonths,

we’ll

start

to

seeanuptick

ininvestors

embracingthe

space

ascorporates

demandwaysto

leveragegenerativeAIeffectively.Thepaymentssector

attracted

the

largest

share

offintech

fundinginthefirst

halfof

2023,includingthethree

largest

dealsglobally.Thesector

remainedquiteattractive

inallregionsof

the

worldgiventheperceivedresilienceof

paymentsmodels.Withinthe

paymentsspace,

however,there

wasastrong

pullbackawayfromBNPL

modelsasinvestors

focused

their

fundingsonmoremature,

corebankingplatforms

withstrongapplicabilityinalleconomicconditions.

Globally,thepaymentsspace

alsosawsomeM&Aactivityascompanieslookedat

acquisitionsas

amechanismtoachievescaleandpowerexpansionactivities.Trends

to

watch

for

in

H2’23•Strongacceleration

ininterest

andfundinginAIsolutionsaimedat

fintech

subverticals,

particularlycybersecurity,

wealthtech,

andinsurtech.•Additionaltake-private

dealsinthe

insurtechspaceshouldpublicmarket

performance

continueto

besuboptimal.•

Continuedconsolidationinthe

paymentsspace,not

onlygloballybut

alsowithinjurisdictionsandregionally.•

Increasing

focus

onB2B-focusedone-stop

shopplatforms

andonB2Csingle-interface

super

appsaimedat

consumers

inemergingmarkets.AI

and

generative

AI

the

talk

of

H1’23

–

poisedto

drive

funding

heading

into

H2’23Anton

RuddenklauGlobal

Leader

of

Fintech,Partner

and

Head

of

FinancialServices

AdvisoryBothAIandgenerativeAIattracted

asignificantamountof

attention

inH1’23,withbothtraditional

investorsandcorporates

showingkeeninterest

inapplicationswithinthe

fintech

space.

In

H1’23,the

bigtech

giants

drovethemost

visibleactivityinthe

generativeAIspace

–•

Democratisationof

access

to

avarietyof

assetKPMG

inSingaporeclassesthrough

fractionalisedfundingsolutions.particularlyinthe

cybersecurity

sector

withMicrosoft’slaunchof

SecurityCopilotandGoogle’sannouncement1/news-releases/google-cloud-announces-new-security-ai-workbench-and-ecosystem-expansion-at-rsac-2023-301804984.html©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse6Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

insights

–

top

fintech

trends

for

H2’23During

the

first

half

of

2023,

fintech

fundingwas

incredibly

subdued

as

many

investors

pulledback

from

making

major

fundingsin

the

face

of

myriad

marketchallenges,

notably

highinterest

rates

fundamentally

challengingexisting

business

models

exacerbated

by

other

macro-economic

challenges,

geopolitical

tensions,and

depressed

valuations.

With

uncertainty

expected

to

be

the

status

quo

in

the

near

term,

fintech

fundingis

expected

to

remain

subdued

heading

intoH2’23

–althoughthe

long-term

outlook

for

the

transformation

of

financial

services

remains

very

positive.

Here

are

our

top

predictions

for

fintech

in

H2’23:1.4.5.Investorswillcontinueto

prioritiseprofitabilitywhenmakinginvestments:The

days

of

major

funding

in

structurallyunprofitablecompanieshaspassed.Fintechinvestorswillincreasinglyprioritisecompaniesabletodemonstratetop-line

revenuegrowth,a

strong

graspof

unit

economicsand

shorterpaths

to

profitability.M&A

willriseasmarket

conditionsimprove:

at

eitherend

of

the

spectrum–distressed

sales,purchasesof

attractivelow

valued

assetsor

protectivesales–

or

value

accretive

M&A,

lowervaluationswillsupport

a

burgeoningdealmarket

for

incumbents,PE

and

challengerfirms.Interest

in

AIwillcontinueto

accelerate:

scaleupswillpromote

theirexistingAI

capabilitiesas

theyfundraiseand

ink

up

business,whilstnewstartupswillbe

incubatedand

scaled

to

leverageAI

asa

stepchangeinoperationalefficiencyand

services.

Largetechgiants

willbe

criticalto

thedevelopment

of

generativeAI

fintechsolutions

given

their

dependenceonrobust

dataand

largelanguagemodels

(LLMs).2.3.The

payments

sectorwillremainhot

acrossall

global

markets:

Given

thebreadthand

applicabilityof

payments

solutions,funding

in

the

paymentsspacewilllikelyremainquite

strong;

consolidationwilllikelyincreaseaspayments

firms

look

to

achievegreaterscaleand

reach,and

takeadvantageof

significant

schemechangesacrossall

markets.6.Interest

in

blockchain

and

digital

asset

solutionswillincrease

in

the

ESGspace:

crypto

funding

is

expectedto

remain

soft

heading

into

H2’23

asregulators

continue

to

tighten

controls

and

jurisdictions

jockey

for

positionas

hubs

for

responsible

crypto

funding,

other

blockchain-based

solutionswill

gain

more

attention

from

investors

–particularly

solutions

alignedwithESG

and

sustainability

(such

as

carbon

credits,

supply

chain

traceability,tokenised

climate

solutions).CorporateVentureswillembracestartupsableto

help

them

operatemoreseamlesslyand

efficiently:

Corporatefundings

willlikelyfocus

on

solutionsableto

help

their

corporatecustomersoperatemore

effectivelyandtransformdigitally–

from

cyber

securityplatformsto

solutions

that

helpimprove

finance,supplychain,logistics,and

payments

processes.©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulseLiabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.7Global

insights

Fintechsegments|Regional

insightsGlobal

insightsDealmaking

remains

markedly

subdued

as

volatility

remains

highTotal

global

funding

activity(VC,

PE

and

M&A)

in

fintechGlobal

venturecapitalfunding

activityin

fintech2020–2023*2020–2023*$300$250$200$150$100$5010,0008,0006,0004,0002,0000$1407,0006,0005,0004,0003,0002,0001,00006,6236,1287,843$120$100$80$60$40$20$07,1433,9954,7391,8182,153$138.82020$247.2$209.32022$52.42023*$49.92020$122.2$88.32022$27.32023*$02021Dealvalue($B)2021Dealvalue($B)DealcountDealcountGlobal

M&A

activityin

fintechGlobal

PE

growthactivityin

fintech2020–2023*2020–2023*$1620015010050$120$1001,2001,00080060040020001,067153162$14853$12123$10$80621$60$8$628748$40$4$20$85.3$0$2$1.1$110.72021$109.22022$24.02023*$3.6$14.3$11.82022$00202020202021Dealvalue($B)2023*Dealvalue($B)DealcountDealcountSource:PulseofFintechH1'23,GlobalAnalysis

offundinginFintech,KPMG

International(dataprovided

byPitchBook),

*asof30June2023.©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse8Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

insightsDeal

metrics

finally

subside

in

tandem

with

activity

after

all-time

highsGlobal

medianpre-moneyvaluations

($M)

by

stagein

fintechGlobal

cross-borderM&A

activity

in

fintech2020–2023*2020–2023*$70400349$445.031935030025020015010050$60$50$40$30$20$330.0218$314.991$63.6$35.2$59.3$117.8$50.0$26.9$10.0$10$0ian

M&A

size

($intech$35.2$32.0$7.1$17.5$5.1$9.9$8.9$40.3$58.82022$13.72023*02020Angel&seed2021EarlyVC2022LaterVC2023*Venturegrowth20202021Dealvalue($B)DealcountGlobal

VC

activityin

fintech

withcorporateparticipationGlobal

medianM&A

size($M)

in

fintech2020–2023*2020–2023*$702,5002,0001,5001,000500$70$60$502,119$60$50$40$30$20$10$01,887$60.1$44.7$40$30$20$10$01,008$31.7$25.4487$27.12020$62.8$43.72022$16.72023*02021Dealvalue($B)Dealcount2020202120222023*Source:PulseofFintechH1'23,GlobalAnalysis

offundinginFintech,KPMG

International(dataprovided

byPitchBook),

*asof30June2023.©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse9Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

insightsQuarterly

figures

reveal

slowing

momentumTotal

global

funding

activity(VC,

PE

and

M&A)

in

fintechGlobal

M&A

activityin

fintech2020–2023*2020–2023*$120$100$802500200015001000500$70$60$50$40$30$20$10$030025020015010050$60$40$20$000Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1

Q2Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1

Q220202021202220232020202120222023Dealvalue($B)DealcountDealvalue($B)DealcountSource:PulseofFintechH1'23,GlobalAnalysis

offundinginFintech,KPMG

International(dataprovided

byPitchBook),

*asof30June2023.©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse10Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

insightsVenture

capital

funding

activity

remains

relatively

resilientGlobal

venturecapitalfunding

activityin

fintechGlobal

venturecapitalactivityin

fintechwithcorporateparticipation2020–2023*2020–2023*$40$35$30$25$20$15$10$52,5002,0001,5001,000500$20$18$16$14$12$10$88007006005004003002001000$6$4$2$00$0Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1

Q22020

2021

2022

20232020202120222023Dealvalue($B)EarlyVCDealcountLaterVCAngel&seedDealvalue($B)DealcountVenturegrowthSource:PulseofFintechH1'23,GlobalAnalysis

offundinginFintech,KPMG

International(dataprovided

byPitchBook),

*asof30June2023.©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse11Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Global

insights

Fintechsegments|Regional

insightsGlobal

insightsTo

p

10

global

fintech

deals

in

H1’231.

Coupa

–$8B,SanMateo,US–Institutional/B2B

–Public-to-private

buyout2.

Stripe

–$6.9B,SanFrancisco,US–Regtech

–Series

I613.

EVO

Payments

–$4B,

Atlanta,US–Payments–M&A74.

Wood

Mackenzie

–$3.1B,Edinburgh,UK–Institutional/B2B

–Corporate10divestiture45.

Duck

Creek

Technologies

–$2.6B,Boston,US–Insurtech

–Public-to-privatebuyout9536.

Moneygram

–$1.8B,Dallas,US–Payments–Public-to-private

buyout27.

Chongqing

Ant

Consumer

Finance

–$1.5B,Chongqing,

China–Consumerfinance

–Late-stage

VC88.

Paya

–$1.3B,

Atlanta,US–Payments–M&A9.

Generate

–$880.6M,

SanFrancisco,US–Institutional/B2B

–Late-stage

VC10.

Abound

(Consumer

Finance)

–$602M,London,UK–Consumerfinance–Early-stage

VCSource:PulseofFintechH1'23,GlobalAnalysis

offundinginFintech,KPMG

International(dataprovided

byPitchBook),

*asof30June2023.©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse12Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Globalinsights

Fintech

segments

Regional

insightsFintech

segments•

Payments•

Insurtech•

Regtech•

Cyber

security•

Wealthtech•

Blockchain/cryptocurrency©2023KPMG,

anAustralianpartnershipandamember

firmof

theKPMG

global

organisation

ofindependentmember

firms

affiliatedwith

KPMG

InternationalLimited,aprivate

English

companylimitedbyguarantee.Allrightsreserved.The

KPMG

nameandlogo

aretrademarksusedunderlicense

bytheindependentmember

firms

of

theKPMG

global

organisation.#fintechpulse13Liabilitylimitedbya

scheme

approved

under

Professional

Standards

Legislation.Globalinsights

Fintech

segments

Regional

insightsFintech

–

PaymentsPayments

deal

activity

slows

amid

global

macro-economic

uncertaintyTotal

global

funding

activity(VC,

PE

and

M&A)

in

payments2020–2023*After

twoyearsof

incrediblyrobust

funding,

theglobalpaymentsspacesawboth

dealvalueanddealvolumedeclinesignificantlyinH1’23.Ongoingfears

of

aglobalrecession,highinflation,

andrapidincreases

to

interest

rates

inmanyjurisdictionslikelycontributed

to

themajorslowdown,

inadditionto

the

continueddownward

pressure

onvaluations.Mature

andstablemarkets

–particularly

the

US

andEurope–attracted

the

vastmajorityof

payments-focused

fundingduringH1’23asinvestorsprioritisedrisk-averse

deals.KeyH1’23

highlightsfrom

the

paymentssector

include:$701,2001,00080060040020001,026$60878$50US

attracts

largest

payments

deals

in

H1’23

by

far698TheUSattracted

thevast

majorityof

paymentsactivityinH1’23,includingthe

$6.8

billion

VCraisebyStripe,

the

$4billion

acquisitionof

EVOPaymentsbyGlobalPayments,andthe$1.8

billion

acquisitionof

MoneygrambyPEfirm

MadisonDearbornPartners.

Outsideof

the

US,the

largest

dealinthe

Americaswasa$6