Startuprad.io brings you in a Frankfurt-to-New-York-Live-Hangout the startup news Germany. 

 

Find the hosts here:

Joe Menninger joe@startuprad.io / Twitter  / LinkedIn / Video Interview (2018)

Chris Fahrenbach chris@startuprad.io / Twitter / Homepage / Video Interview (2018)

 

Have a look down here, you will find a link to our blog post with all the links and our text. 

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Housekeeping – Time to brag 

We made it in the Top 100, Top 200, Top 400 and Top 1.000 iTunes Podcast Charts. Now 23 countries and counting. We made it in the top 400 in Bella Italia and Top 200 in Brazil!

Learn more here: www.startuprad.io/about-us 

We made it in the top 400 podcasts in Bella Italia and Top 200 in Brazil!

Also, we are starting to separate our tracks. You know that we try to bring you interviews from all over the German Startup scene, crossing all industries. Now we made our first carve out with Fintech Germany e.g. here:
Stitcher http://bit.ly/2movjJQ
iTunes: apple.co/2lLRlpG
Spotify: spoti.fi/2m8HWsb 
Follow the channel on Twitter: https://twitter.com/fintech_germany
We will have more tracks as a separate stand-alone podcast soon. 

 

As usual, there is a lot going on on our YouTube channel https://www.youtube.com/startupradio.
Since the last news, we published 10 interviews! Find all of them on our YouTube channel e.g.:

Our Media Partnership with Frankfurt Forward brings us straight to our Hubs section

 

Hubs

Frankfurt / Rhine-Main

Frankfurt-based sports startup, producing the Antelope Suite is in preliminary insolvency. They are known for having investors like Red Bull https://buff.ly/32SOP0Z 

Startuprad_io interviews: 2019 https://buff.ly/2sWphAx  2017 https://buff.ly/2NnU4Su 

The owners of software maker TeamViewer are planning a Frankfurt listing this year that could be the biggest German initial public offering for a technology company in nearly two decades. https://buff.ly/2NHQSjV #Germany #StartupIPO #tech #techIPO #IPO

Rossmann, one of Germany’s leading drug store chains, buys 25.1% stake in Frankfurt-based AI Trendscout Swarm https://buff.ly/2N6n7Kr All long-time followers know our interview with the founder Peter Hart, when he started out with Dr. Severin, an aftershave for women. 

Seedtable put together a list of “100 Best Frankfurt Startups to Watch in 2019 https://buff.ly/2N7HNS3” including many Startuprad.io interview partners. e.g. BITA, Clark, savedroid and awamo. Even Startuprad.io was listed there.  

Fintech News CH (from Switzerland) points out, what many in Frankfurt already know: “Frankfurt is the place to mingle between the fintechs and the banks, and any kind of fintech company from any part of Germany come to Frankfurt whether they’re based in Berlin or Hamburg or Munich,”  – FintechNewsCH https://buff.ly/31W8b4Z

Frankfurt-based cannabis startup Farmako kicked out its last CEO. How it has hired a new CEO, a woman Katrin Eckmans. She will manage what is left after one of the main investors split the company and took over its production of biosynthetischem CBD https://buff.ly/30KPKzE?utm_source=-custom-by-source-1- 

Frankfurt is included in the “Next 15 non-capital European cities ranked by the number and value of angel, seed & early-stage VC deals closed (13-18)” by Stifted.eu, a publication of Financial Times.
Many successful startup hubs exist in tiny European towns | Siftedeu  https://buff.ly/31Jbayr

Frankfurt-based Broker “Fintech Group” is up for sale. Interested parties include Goldman Sachs https://buff.ly/2Hd3go5

Germany’s largest game developers and studios 2019 by German special interest publication GamesWirtschaft.de
No1 is Blue Byte with a location in Mainz, No 3 Gameforge from Karlsruhe, No 4 Crytek from Frankfurt (known for the 3D engine behind many well-known ego shooters) https://buff.ly/33E8suN

Iconic Lab, the ICO accelerator, turned blockchain VC, invests in Captain Bitcoin https://buff.ly/2zyxVYM
They write on medium “Iconic Lab has invested into and seeded the crypto adoption platform, Captain Bitcoin. After generating substantial interest from the community and onboarding over 30,000 verified users in the first 30 days of its website existence, Captain Bitcoin is ready to finalize its MVP and put Bitcoin into the hands of its users by giving away $1,000 in BTC every day in return for users consuming content.

Goldman Ready to Invest More in German Fintechs, out of Frankfurt reports Bloomberg. They also state that they see the ecosystem in Frankfurt developing https://buff.ly/2MY7NPU 

Bundesliga team 1 FSV Mainz05 now has a lounge for founders in cooperation with partners, where they can pitch their startup https://buff.ly/2ZArrn3 

Greater Rhine-Main/Rhine Neckar Region

Volocopter reveals its first commercial aircraft, the VoloCity air taxi – TechCrunch https://buff.ly/2zniPoV

Hamburg

Venture Capital: Deutsche Telekom Capital Partners (DTCP) raises 2nd #VentureCapital fund with 350 mn US$, focusing on #SaaS #startups. Adding in the process @ZEISS_Group and @SKtelecom as new corporate backers https://buff.ly/2IKjGp3 

Munich

ScalableCapital, Germany’s largest #Roboadvisor raises 25 mn Euros in a Series C round  https://buff.ly/2GRvPHG 

Ecosystem

Wirecard vs Financial Times

The Financial Times has been bashing Wirecard for some time and reports on February 7th on suspect transactions in Singapore. Later it turned out that short sellers knew about the article days before publication and so FT had to question their reporting, especially given the very small volume involved in the Singapore transactions. 

There is a good brief overview by Reuters: https://www.reuters.com/article/us-wirecard-litigation/ft-calls-in-law-firm-to-review-reporting-on-wirecard-idUSKCN1UI1GK 

related:

Wirecard sends a letter to „Financial Times“, to stop publishing articles and conduct an internal investigation. It appears #Wirecard got hold of an audio recording of #shortsellers discussing the unfavorable article days before FT publication  https://buff.ly/2XXMGTF

related:

WSJ writes the FT hired a law firm to conduct a review of the Wirecard reporting: https://buff.ly/2Gtv1IL

Finally: 

No results are known yet, but this is quite interesting. Especially since FT had some problems with Wirecard reporting in the past, and they are not usually an outlet known for sloppy reporting

 

Check24 Attack 

We live in interesting times – Startupradio will keep you updated on this
Check24 used to be the top dog for #B2C #financialservices platform. Now Finleap is rolling out the challenger Joonko https://buff.ly/2ZAJ0ag 

 

Mobility

Mazda pulls the plug on its #carsharing joint venture with Deutsche Bahn, Lidl, and mobility provider Choice, headquartered in #Berlin https://buff.ly/2Ld0IYz

 

Food Delivery Wars

Europe’s food delivery wars are just beginning | by @amyrlewin on @Siftedeu https://buff.ly/2KTUuwy

“It’s been a busy few weeks for Europe’s food delivery companies.

Just Eat and Takeaway.com, the two veterans of the market, agreed a merger; the combined company is worth a whopping £9bn.

Uber Eats announced that it plans to start delivering grocery items too.

Deliveroo told customers it would be pulling out of Germany, acquired a Scottish software startup and announced plans to boost its tech team. And rumours swirled that both Uber and Deliveroo were eyeing up Spanish delivery startup Glovo for acquisition.

The battle over Europe’s stomachs is only just beginning, it seems.”

 

Chris recommendation from the New York Times Podcast: Why Uber Still Can’t Make a Profit https://buff.ly/2PuDkep

 

Fintechs in Germany

Out of approx. 800 #fintechs in Germany approx. 200 failed since 2017 (not including mergers and takeovers). This is quite a good quota, with close to 90% expected failure rate in #startups in general, I would have expected around 700. 

Most fintechs fail in their 3rd or 4th year of existence. 

It appears that B2C fintechs fail at a slightly higher rate.

Most failures are accounted for in the sub-sectors of financing (70), Proptech (52), Payments (29), Insurtechs (22), Investments (20), Crypto (11)

https://buff.ly/2Yscm7f 

Related: Penta

German Digital Bank Penta Gets Backing of Billion-Dollar Venture Fund https://buff.ly/2YIC2j7 

Learn more about them here (we kept track of them since 2016): https://buff.ly/2YLTVxF  

Related: Raising Fairr

Berlin-based FinTech Unicorn Raisin Acquires German Pension Startup Fairr | Coinspeaker https://buff.ly/2L3kozc

 

Fintechs in Switzerland

“Zurich-based fintech Numbrs whose investors include Josef Ackermann (former investment banker and CEO of Deutsche Bank) has raised” another VC round, turning it in a unicorn. The unicorn plans to expand in other countries https://buff.ly/2PoWH8K  

 

Critical voices on Libra

How Facebook Raced to Build Libra Coin

The Social network quietly assembled a crypto team and courted partners for more than a year – The Financial Times https://buff.ly/2KC6hlm

#DrDoomSays

“default on its $82 billion sovereign debt was the largest the world had seen. Argentina’s failed policy, known as a currency board, is exactly what Facebook is trying to create with #Libra, …”  https://www.project-syndicate.org/commentary/facebook-libra-becomes-cancer-by-andres-velasco-and-roberto-chang-2019-07?utm_source=-custom-by-source-0- 

“The classic time inconsistency problem, familiar to economists, emerges: no matter what Facebook says today, the incentives to break its promises once Libra takes off will be enormous.”

“What about the claim that #Libra would be a boon to financial inclusion in emerging and developing countries? Perhaps. But Libra may instead become a source of major headaches for them. Emerging economies have long been combating so-called dollarization: the tendency of residents to seek insurance by holding US dollar accounts in local banks and denominating contracts (including wage contracts) in dollars. Because dollarization keeps central banks from serving as lenders of last resort to domestic banks, it foments financial instability. It also renders monetary policy less effective by, for example, limiting the positive effect of currency depreciation on exports and employment.”

Cryptocurrencies have given rise to an entire new criminal industry, comprising unregulated offshore exchanges, paid propagandists, and an army of #scammers looking to fleece retail #investors ” by Nouriel Roubine (nicknamed Dr. Doom)  via Project Syndicate https://buff.ly/2LYtKNd 

“This is not mere conjecture. Some of the biggest crypto players may be openly involved in systematic illegality. Consider BitMEX, an unregulated trillion-dollar exchange of crypto derivatives that is domiciled in the Seychelles but active globally. Its CEO, Arthur Hayes, boasted openly that the BitMEX business model involves peddling to “degenerate gamblers” (meaning clueless retail investors) crypto derivatives with 100-to-one leverage.”

 

Quantum Computing is coming

10 European startups cooling down the crazy world of #QuantumComputing | @EU_Startups https://buff.ly/2SOIdg9 including JoSQUANTUM from Frankfurt. HeiQuSim from Karlsruhe and kiutra from Munich

Private Health Insurance in Germany

“Heal Capital” is the name of the #VentureCapital fund, from the private German health insurers. They aim for 100 mn Euros. The fund will be managed by Berlin-based VCs Heartbeat Labs and Flying Health https://buff.ly/2Q0jxDX #insurtech #fintech #healthcare 

Companies

N26 launched in US: https://n26.com/en-us/blog/n26-launch-in-the-us 

Published yesterday: Deutsche Bank stake lifts German fintech Deposit Solutions to €1bn valuation. Hamburg has a new unicorn, congratulations! https://buff.ly/2LDRSV6  

 

RocketInternet Corner

IPO Global Fashion Group

RocketInternet’s Global Fashion Group (GFG) raised less than half the sum it had originally targeted in an initial public offering of new shares that drew weak investor demand and ended up being mostly backed by its existing shareholders https://buff.ly/2lJsv9X 

Home24

The IPO of @home24_de did not go well so far. The share price lost 90% of its value, as compared to an almost stable DAX. Now @excomm starts to speculate who will buy the company with only 79 mn cash on it’s balance sheet. https://buff.ly/2XDRpJh

HelloFresh
HelloFresh Nears Zalando-Style Turning Point After First Profit by @StefanNicolaBBG on @business https://buff.ly/2Zag6gY

Billion Dollar VC Fund
Reportedly Rocket Internet raised another #VentureCapital fund. This one with a volume of 1 bn US$ – Capital https://buff.ly/2NmKQpE This time they are looking to invest in #Fintech, #B2B and #Software

 

Venture Capital

  • Raisin, Berlin-based savings and investment marketplace, said it had tapped investment bank Goldman Sachs for top-up funding as it joins other European fintech players in targeting the U.S. market https://buff.ly/2JLAdIC 
    • Related: Raisin picks up $28M backing from Goldman Sachs for its savings and investment marketplace – TechCrunch https://buff.ly/2SoE1DS
  • #Berlin-based Billie raises €30M for its B2B invoicing and payments platform https://buff.ly/2lD1HrD 
  • Vienna-based Bitpanda launches their Global Exchange after having raised €43.6 million via their Initial Exchange Offering | EU-Startups https://buff.ly/2OGQogf
  • Berlin-based game studio Klang raises €20 million to develop its #MMO virtual space colony, #Seed | EU-Startups https://buff.ly/2L1RPRb
  • This German #proptech startup secures €13M, wants to create the first digital ecosystem around housing https://buff.ly/2MtSCO3
  • #Berlin #logistics #startup sennder raises #SeriesC #financing round 70 m US$- FreightWaves https://buff.ly/2YlKVir 

Related

Germany: BaFin Approves Next Security Token Offering as StartMark Seeks €50 Million https://buff.ly/2YfpM5G

 

Fintech

Berlin-based Solarisbank is looking to break even in 2020. The fintech was founded 2016 and increased revenues threefold since – but also losses worth 18 mn Euros – Handelsblatt https://buff.ly/2RF35Gb

 

Fashion Merger Modomondo and Outfittery

We talked about the merger of #Berlin based curated shopping #startups Modomoto and Outfittery, now Jochen Krisch (Ecommerce Analyst and Blogger at excitingcommerce.de) uncovered, that Modomonto shareholders only ended up with 16% of the new company https://buff.ly/2NEGLOP

AmazonFresh, a flop in Germany?

Online Groceries

Data collected on the German online #grocery #store #GetNow appear to show a dire need for money. They raised – undisclosed- amounts in VC round, convertible loans, and loans. Even the majority shareholder will soon be an offshore company on the Isle of man – where the ultimate owners are not disclosed https://buff.ly/2TaQ8EI

Related:

AmazonFresh, a flop in Germany? DHL surely thinks so and ends delivery for Amazon Fresh, but Fresh only. Normal delivery of packages for Amazon not impacted https://buff.ly/2HtqUga

 

Stay ahead of the curve

Digital banks are racking up users, but will they ever make money? https://buff.ly/2ZuPDIg

#banking #fintech #unicorn #valuation #tech #technology #startup #mobile #financialservices 

 

“It has long been suspected that debt markets deal with private companies and public ones differently. … The “private equity discount” or the “public equity premium” is real….”

The High Cost of Being Private https://buff.ly/2YwJlqJ

 

Monzo’s valuation now over €2.2B with the latest €126M funding: 5 digital bank competitors who should be worried now including @n26 via @SiliconCanals https://buff.ly/2LEWqL6 

 

Global IoT Insurance Market with a CAGR of 65.8% with Latest Trends https://buff.ly/2XKEpgW