Morgan Stanley Expansion Capital has acquired a stake in Sokin, a UK-based global payments Neobank. Founded in 2019, Sokin focuses on simplifying international payments by offering businesses the ability to transfer, hold, and exchange over 100 currencies through a single platform. This partnership aims to leverage Morgan Stanley’s extensive resources to accelerate Sokin’s growth and innovation.
Sokin’s founding vision aimed to eliminate the complexities of international payments. Now, it supports a diverse range of businesses, including logistics companies and Premier League football clubs. The platform offers multi-currency IBAN and local currency accounts to facilitate seamless global payments. This new investment follows a trend of increasing capital inflow into fintech firms, as the industry continues to innovate and expand its capabilities. Historically, similar investments in fintech have proven successful, driving product development and market reach.
Strategic Partnership
Sokin will maintain its brand independence, with the current management team, including CEO Vroon Modgill, continuing to lead the company. Modgill expressed optimism about the partnership with Morgan Stanley, citing the significant growth opportunities it presents.
“This investment represents an exciting new chapter for Sokin — one filled with immense opportunities for growth and innovation. 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.”
The amount of funding has not been disclosed.
Investor Support
Morgan Stanley’s investment is part of a funding round that includes contributions from notable figures such as Gary Marino, former PayPal (NASDAQ:PYPL) chief Commercial Officer, and Mark Britto, former PayPal chief Product Officer. Marino will join Sokin’s Board, bringing valuable industry experience to the company.
“Sokin has developed an impressive platform powered by tactical licensing and partnerships ripe for further product and market expansion.”
Lincoln Isetta, Managing Director at Morgan Stanley Expansion Capital, praised Sokin’s growth and efficiency.
“Sokin demonstrated outlier growth and capital efficiency that was powered by a great product and a high achieving team. We believe Sokin has built a modern, comprehensive technology platform that is well suited to help enterprises simplify payments across geographies.”
This acquisition aligns with Morgan Stanley’s strategy to invest in promising fintech enterprises. Previous investments in the sector have shown that such partnerships can significantly enhance a company’s technological capabilities and market presence. Sokin’s robust platform and strategic partnerships position it well for expansion in the competitive fintech landscape.
This investment marks a significant milestone for Sokin, potentially propelling its market reach and innovation capabilities. By partnering with Morgan Stanley, Sokin gains access to extensive resources and expertise, which are likely to enhance its product offerings and customer service. The collaboration could also stimulate further developments in the fintech sector, reflecting broader trends in the industry where strategic investments lead to accelerated growth and technological advancements.
