Backbase Acquires UK Digital Wealth Platform Nucoroby Fintechnews Switzerland June 16, 2023
Backbase announced its acquisition of Nucoro, the UK-based digital wealth platform for an undisclosed amount. The acquisition will allow Backbase to incorporate Nucoro’s headless platform capabilities directly into the Backbase Engagement Banking platform, enabling its customers to launch digital end-to-end investment offerings, such as robo-advisory, trading, or hybrid advisory services.
The wealth management platform market eclipsed $3 billion in 2022 with analysts predicting a 10% CAGR in the next decade. Investment products are an important value creator globally for retail banks, private banks, and wealth managers, and this acquisition demonstrates Backbase’s commitment to helping financial institutions deliver world-class investing experiences to their customers.
“We see a trend where retail banks want to quickly launch differentiating investment propositions to complement their daily banking services. Think of capabilities like enhanced savings, pension products, stock trading, and portfolio management. With these services, they can generate extra revenue and expand their share of wallet with their most valuable customers .For private banks and wealth management firms, we see a growing demand to modernize their legacy point solutions and hollow out their bespoke core systems. I’m super excited about the potential of this powerful combined platform to provide instant end-to-end value for both retail and private banks.”
Jouk Pleiter, Founder and CEO of Backbase said.
For the last three years, Nucoro was part of the Backbase fintech partner ecosystem and both companies have been closely collaborating on joint engagements. At a technical level, both platforms are based on open industry standards and share a microservice-based architecture, enabling Backbase to accelerate its ONE platform, ONE architecture vision.
“Backbase is an ideal partner to bring the next generation of wealth infrastructure to financial institutions around the world. As a trusted innovation partner to financial institutions, Backbase offers us the reach and technical expertise to take our vision further.”
Lennart Asshoff, Nucoro Co-Founder and CEO said.
The Backbase Engagement Banking Platform was recognized as a leader earlier this year by industry research analysts at Celent and Omdia. Having grown organically to over €200 million in revenue, Backbase raised €120 million in growth equity funding from Motive Partners in 2022.
Featured image credit: Lennart Asshoff, Nucoro Co-Founder and CEO and Jouk Pleiter, Founder and CEO of Backbase . Background image edited from Freepik