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(Sharecast News) - UniCredit said on Tuesday that it has bought a minority stake in German fintech VC Trade for an undisclosed sum.
UniCredit said the deal - which also gives it the option to increase its investment and shareholding over time - will support VC Trade's continued growth and international expansion, "while strengthening the bank's ability to serve clients through more efficient, digital debt financing solutions across Europe".
The Italian bank said VC Trade has established itself as a key technology platform for the lending markets, providing end-to-end digital infrastructure across the lifecycle of debt transactions, including syndicated loans, Schuldscheine and other debt instruments.
It already connects a broad network of banks, issuers and institutional investors across Europe and is the leading marketplace by both volume and number of transactions intermediated within the German Schuldschein market, UniCredit said.
Sam Kendall, head of Advisory & Financing Solutions at UniCredit, said: "The challenge facing European capital markets is not a shortage of capital. It is the cost of connecting capital with the companies and projects that can put it to productive use, particularly in the mid-market and SME segments.
"Reducing this cost to serve is at the heart of our UniCredit Unlimited strategy and VC Trade has built impressive technology that addresses the challenge directly - reducing inefficiencies in the debt market and helping participants find one another more effectively. I'm excited to work alongside them as we look to build the capital markets architecture for Europe's future."
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