IDnow Secures Strategic Majority Investment from Corsair Capital to Drive Growth in Digital Identity Verification

IDnow and Corsair Capital: A New Chapter in Digital Identity Verification

In a significant development for the European digital identity landscape, IDnow, a prominent provider of identity verification solutions, has announced a strategic majority investment from Corsair Capital. Founded in 2014, IDnow has rapidly established itself as a market leader in identity verification, offering state-of-the-art, AI-driven technologies that cater to various industries, including finance, telecommunications, travel, and gaming. This investment marks a major milestone aimed at enhancing IDnow's growth trajectory and expanding its market dominance.

Corsair Capital, known for its investments in sectors like payment processing, software, and business services, is set to assume a majority stake in IDnow from its current shareholders. This move underscores Corsair's commitment to fostering continuous growth and reinforces its intention to further solidify IDnow's leading position in the digital identity sector across Europe and beyond.

A History of Collaboration

This is not the first instance of Corsair and IDnow collaborating; in October 2019, Corsair made an initial minority investment in IDnow. Since then, IDnow has managed to strengthen its technological advantages, broaden its portfolio with a variety of identification solutions, and execute two strategic acquisitions. These developments have allowed the company to enter new regional markets and achieve a strong foothold in France, cementing its status as a go-to provider for digital identity needs.

As part of their latest agreement, Corsair aims to accelerate IDnow's expansion strategy through a comprehensive solutions portfolio, strategic positioning across various regions, and potential further acquisitions. This initiative aligns with IDnow's vision that seeks to make the connected world safer and more secure.

The Vision Moving Forward

Andreas Bodczek, CEO of IDnow, expressed optimism about the new investment, stating, "Since our inception over a decade ago, IDnow has developed into a market leader in identity verification in Germany and France. Today's announcement positions us for future success." Bodczek emphasized that Corsair's ongoing investment reflects confidence in IDnow's vision and the synergistic opportunities forged through their partnership.

Corsair’s partners, Raja Hadji-Touma and Edward Wertheim, echoed this sentiment, expressing excitement about the enhanced partnership with IDnow's strong management team and their commitment to promote innovation and growth. They highlighted the impressive momentum that IDnow has gained and see the new investment as a crucial element in its continued success.

Felix Haas, Executive Chairman and Co-Founder of IDnow, noted the company’s journey with key team members, emphasizing that Corsair's expertise and resources would play a pivotal role in accelerating growth and unlocking new opportunities. This collaboration promises significant progress for IDnow, benefiting not only the company but also its clients and the broader industry.

IDnow's Integrated Solution Portfolio

IDnow is committed to delivering a diverse portfolio of identity verification solutions, ranging from automated to human-assisted methods, suitable for online platforms and point-of-sale environments. The focus remains on achieving the highest security standards while maximizing user experience. Additionally, IDnow’s acquisition of leading French identity verification technology firm ARIADNEXT and the German provider identity Trust Management AG has enabled it to offer one of the most comprehensive solutions through a unified platform.

With offices in Germany, the UK, and France and backed by notable institutional investors like Corsair Capital and Seventure Partners, IDnow’s clientele spans various industries, including major international brands like UniCredit, Telefonica, and BNP Paribas, as well as digital innovators like N26 and Klarna. This latest investment is poised to drive IDnow's vision of providing cutting-edge identity verification solutions that cater to evolving market demands and regulatory requirements.

Corsair continues to play a crucial role in enhancing technological ecosystems across private markets, having invested $13.6 billion in buyouts and infrastructure since its inception. Their focus on identifying value-driven investment opportunities aligns with IDnow's ambition to scale its impact in the realm of digital identity verification.

Overall, this investment not only represents a strategic alliance between IDnow and Corsair but also symbolizes a strong commitment towards innovation and responsiveness to the burgeoning market needs in the digital identity verification space.