Morgan Stanley buys stake in UK business payments start-up Sokin
US investment banking heavyweight Morgan Stanley has acquired a “significant” stake in Sokin, a UK-founded business payments start-up.
Morgan Stanley acquires “significant” stake in Sokin
The transaction was led by Morgan Stanley Expansion Capital, the bank’s growth-oriented investment platform operating as part of its investment management unit.
Although the value of the deal has not been officially disclosed, Business Insider reports that the total investment in the start-up is $31 million.
The deal also includes investment from Aurum Partners as well as Gary Marino and Mark Britto, former chief commercial officer and chief product officer of PayPal, respectively.
As part of his involvement, Marino is now also set to join the Sokin board.
Sokin, which is to continue operating as an independent unit and brand under its current management team, says the investment will “accelerate its product growth plans and further global expansion”.
Vroon Modgill, CEO and founder of Sokin, who is to retain a material shareholding, says the deal marks “an exciting new chapter” for the company.
“By joining forces with the Morgan Stanley Expansion Capital team, we gain access to unparalleled resources and expertise which we believe will enable us to accelerate our growth trajectory and better serve our customers.”
Founded in 2019, Sokin, which is also notably backed by former international footballer Rio Ferdinand, operates local currency accounts and a multi-currency IBAN offering through a single platform that enables businesses to manage global payments and transact internationally.
