Sydney launches financial technology start-up hub
Sydney has launched a hub for financial technology start-ups, supported by initial funding of A$2 million ($1.6 million) from a string of Australian banks, property and technology firms in collaboration with the New South Wales government.
Known as Stone and Chalk, the fintech hub is expected to start operations in May from a base in the city's central business district. It will offer a 1,230 square-meter co-working space - with the potential to grow to 3,000 sqm - that can accommodate up to 150 entrepreneurs. They will receive discounts on rent as well as access to industry mentors and capital providers.
The corporate backers include Amazon, American Express, AMP, ANZ, HSBC, IAG, Intel, KPMG, Macquarie Group, Oracle, Suncorp, Veda, Westpac and Woolworths. Former AMP CEO Craig Dunn has been appointed chairman of Stone and Chalk.
"This will become the heart of fintech in Australia and hopefully Asia," Dunn said in a statement. "Digital disruption is transforming the financial services industry and there is much to be gained through greater collaboration between stakeholders in the fintech ecosystem. We are focused on bringing to life our vision for Sydney's fintech hub to support start-ups compete, thrive and lead on a world stage."
The hub is consistent with recommendations in Australia's financial systems inquiry report, released in December, that called for a permanent public-private sector collaboration committee to be established, comprising industry, government, regulatory, academia and consumers to facilitate financial system innovation and a more flexible regulatory framework. It is one of five industry-led knowledge hubs supported by the New South Wales government.
Also in December, KPMG released a government-backed report that found Sydney is underperforming in terms of fintech investment, warning that this could harm the city's financial services sector. Recommendations included the creation of a non-profit fintech hub in order to encourage collaboration between technology start-ups, venture capital and established financial services firms.
More on Venture
Latest News
Asian GPs slow implementation of ESG policies - survey
Asia-based private equity firms are assigning more dedicated resources to environment, social, and governance (ESG) programmes, but policy changes have slowed in the past 12 months, in part due to concerns raised internally and by LPs, according to a...
Singapore fintech start-up LXA gets $10m seed round
New Enterprise Associates (NEA) has led a USD 10m seed round for Singapore’s LXA, a financial technology start-up launched by a former Asia senior executive at The Blackstone Group.
India's InCred announces $60m round, claims unicorn status
Indian non-bank lender InCred Financial Services said it has received INR 5bn (USD 60m) at a valuation of at least USD 1bn from unnamed investors including “a global private equity fund.”
Insight leads $50m round for Australia's Roller
Insight Partners has led a USD 50m round for Australia’s Roller, a venue management software provider specializing in family fun parks.