Papara Set to Expand Further in Europe

Published 6 months ago

Papara, Turkey’s pioneering fintech unicorn, is poised to expand its presence in Europe. CEO Emre Kenci has revealed plans for another European acquisition in the coming weeks, following its July acquisition of Spanish neobank Rebellion.

A Leader in Turkish Fintech

Papara was established in 2016 and has since amassed over 17 million users in Turkey, particularly among the younger demographic. CEO Emre Kenci stated that Papara is a familiar name for individuals under 30, with one out of four Gen Z individuals actively using the platform.

The Road to Becoming a Financial Super App

The financial technology company does not hold a banking license but is instead adopting a model similar to Revolut. Papara is building a range of banking and non-banking features in its pursuit of becoming a “financial super app”. Within the next year, users will have the opportunity to buy and sell Turkish stocks, US stocks, precious metals, and access the bond market.

Expansion through Acquisition

Papara’s acquisition of Rebellion has provided an immediate user base of 250,000 in Spain. Kenci believes this will create a solid foundation for Papara’s growth in Europe. Further expansion in Europe is anticipated with another acquisition set to be announced in the coming weeks. This acquisition is expected to extend Papara’s reach into two or three other European markets.

IPO Plans

Papara is also planning an initial public offering (IPO) in the next 2 to 4 years. The company is considering multiple listing options, including Nasdaq, the London Stock Exchange, and Bursa Istanbul. Due to fluctuations in the Turkish lira, Papara is leaning towards choosing Bursa Istanbul, unless a rapid growth in their international businesses prompts a different decision.

Funding and Resilience

Since its inception, Papara has been entirely funded by its founder Ahmed Karslı, who is now the chairman of the company. Kenci highlighted the fact that fintechs in emerging markets rarely have access to large amounts of funding, making profitability a priority from the outset. This approach, he believes, has made Papara more resilient to shocks. As the company prepares for an IPO, a funding round might be hosted for those already connected with Papara.