Nordic Capital combines Qred and Liberis to create global SMB finance platform

Nordic Capital has agreed to acquire embedded finance specialist Liberis and make a further investment in Qred, bringing together two fast-growing fintech businesses to create a global platform focused on financing small and medium-sized businesses (SMBs).

The transaction will combine Swedish digital business bank Qred with UK-founded Liberis, creating a business with more than 600 employees, annual revenues exceeding €250m and an active customer base of over 53,000 SMBs. The combined platform will have access to approximately 11.5 million merchants across 17 countries.

The move comes as demand for alternative business finance continues to grow. SMBs account for more than 99% of all businesses across Europe and generate almost half of private-sector employment in the United States, yet many continue to face difficulties accessing funding through traditional banking channels.

Founded in Stockholm in 2015, Qred has evolved from a digital lender into a fully licensed bank serving small businesses across Northern Europe. The company has expanded its offering beyond lending to include credit cards, savings products and other financial services, supported by its proprietary AI-powered credit assessment platform.

Liberis, founded in 2007, has established itself as one of the leading providers of embedded finance, delivering funding solutions through software providers, payment companies, marketplaces and financial platforms. The company has helped more than 70,000 businesses access finance through a network of more than 30 partners across Europe, the UK and North America.

Together, the businesses plan to offer an integrated range of SMB finance products, including term loans, revenue-based financing, working capital facilities and cards, delivered through both direct and embedded distribution channels.

Emil Sunvisson, founder and chief executive of Qred, said the transaction marked a significant milestone in the company’s development.

“Qred was built on a simple belief that SMBs deserve better access to financing and financial services,” he said. “Over the last five years, together with Nordic Capital, we have transformed the company into a regulated European bank serving tens of thousands of entrepreneurs across multiple markets. The combination with Liberis marks an exciting next chapter and significantly expands how we can support SMBs going forward.”

Rob Fairfield, chief executive of Liberis, said the partnership would accelerate the company’s mission to improve access to finance for smaller businesses.

“Since 2007, Liberis has been driven by a simple belief that small and medium-sized businesses should have easier access to the funding they need to thrive,” he said. “Joining forces with Qred and Nordic Capital marks an exciting new chapter, one that will allow us to accelerate our mission, expand our product offering, and support even more entrepreneurs around the world.”

The transaction also represents a successful exit milestone for Liberis shareholders, led by venture builder and investor Blenheim Chalcot, which has backed the business since its early years.

Manoj Badale, chairman of Liberis and co-founder of Blenheim Chalcot, said the deal reflected the evolution of embedded finance from a niche concept into a major force in business lending.

“When we founded the business, the concept of truly embedded SMB finance delivered through partners was still largely unproven,” he said. “The team helped define the category and built a business that now serves SMBs at significant scale across multiple markets.”

Following completion, Nordic Capital XI will become the majority shareholder in the combined group, while Nordic Capital Evolution I will retain an interest alongside new co-investor Verdane. Sunvisson will continue to lead the enlarged business as Group CEO and remain a minority shareholder.

Emil Anderson, partner at Nordic Capital, said the firm viewed SMB finance as one of the most attractive structural growth opportunities in financial technology.

“Qred and Liberis have each built strong positions through a combination of technology, innovation and a relentless focus on serving small businesses,” he said. “We believe the combined company has the potential to become a leading platform in SMB finance internationally.”

The transaction is expected to complete later this year, subject to regulatory approvals and customary closing conditions. Until then, both companies will continue to operate independently, with no changes to products, services, partner relationships or growth plans.