HSBC invests $35 million in Tradeshift as part of joint venture

HSBC has invested $35 million in supply chain finance company Tradeshift. 

The investment forms part of a new joint venture focused on developing embedded services across trade and e-commerce marketplaces, streamlining the flow of working capital across supply chains. 

Tradeshift and HSBC announced the investment as part of a funding round expected to raise at least $70 million. HSBC will invest the $35 million in two stages, and also join Tradeshift’s board. 

Other contributors to the funding round include AYTK Limited, LUN Partners Group. Fuel Venture Capital, Doha Venture Capital LLC, Notion Capital, IDC Ventures and The Private Shares Fund. All are existing shareholders.
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Tradeshift said that it planned to use the injection of capital to add more SaaS, B2B marketplace and embedded financial services, adding that it was also considering some acquisitions. 

Barry O'Byrne, CEO of Global Commercial Banking at HSBC, said “We are very excited to partner with Tradeshift to help businesses and their suppliers trade more smoothly using world-class technology and solutions that the joint venture will deliver.

“This agreement supports our strategy of being a digital first bank, which includes our commitment to partnering with fintechs and embedding our solutions into the platforms of others.”

Christian Lanng, CEO and Co-founder of Tradeshift, said “Our deepening partnership with HSBC delivers a strong foundation from which to scale and accelerate our vision of a trade network that creates economic opportunity for businesses everywhere.

“HSBC’s reputation and global infrastructure bring instant credibility and broad appeal to any financial solutions brought to market through the Tradeshift platform. It’s transformative, and it’s a tremendous validation of the innovation and product architecture we have developed over the past decade.”
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