Prime Highlights

• French fintech Pennylane secured $200 million in Series E funding to support long-term growth and expand its presence across Europe.
• The company said the raise was a strategic move, enabling faster innovation in AI while maintaining independence.

Key Facts

• The funding round was led by TCV with participation from Blackstone Growth, Sequoia, DST Global, and CapitalG, valuing Pennylane at about $4.25 billion, according to reports.
• Founded in 2020, Pennylane offers an all-in-one accounting and financial management platform for startups, SMEs, and accounting firms across Europe.

Background

French accounting and financial management platform Pennylane raised $200 million in a Series E funding round, boosting its financial position as it plans to grow across Europe. The company said it did not have an immediate need for new capital but chose to raise funds to support long-term growth.

The latest round was led by growth investor TCV, with Blackstone Growth also participating. Existing investors, including Sequoia, DST Global, and CapitalG, the venture arm of Alphabet, also took part in the funding. Bloomberg reports that the funding round puts Pennylane’s value at about $4.25 billion, though the company has not confirmed this.

Founded in 2020, Pennylane provides an accounting and financial management platform for startups, small and medium-sized businesses and accounting firms across Europe. The company positions its product as an all-in-one solution that brings business owners and accountants onto a single shared platform, helping them manage finances more efficiently and work more closely together.

Arthur Waller, co-founder and chief executive officer of Pennylane, said the company viewed the funding as a strategic move rather than a necessity. He said partnering with investors such as TCV and Blackstone allows Pennylane to remain independent while accelerating its leadership in artificial intelligence and expanding in key European markets.

The company plans to use the new funds to increase research and development spending. This includes improving its product offering in Germany, where Pennylane recently launched, and strengthening its payment and cash management features.

Pennylane has raised significant capital in recent years. In 2024, Pennylane raised €75 million in a funding round co-led by Sequoia, CapitalG, and Meritech Capital Partners. In 2023, it raised €40 million in a Series C round, showing that investors trust its growth plans.