Twig, a London-based fintech focused on the circular economy, is shutting down due to unsuccessful funding efforts. As reported by UKTN, Twig has entered creditors’ voluntary liquidation, with debts totaling £15.4 million.
The company was unable to secure funding for its Series B round after having raised $35 million in its Series A round in 2022, led by UK-based fintech specialist Fasanara Capital. CEO Geri Cupi stated that the company struggled to navigate the challenging startup fundraising landscape in 2023, which ultimately hindered their ability to secure necessary financing for the future.
Founded just four years ago, Twig aimed to serve Gen Z consumers in the UK, allowing them to trade unwanted items like electronics and clothing for cash. The platform also offered banking services, including a debit card and domestic and international bank transfers, while promoting its environmental initiatives, such as a footprint calculator, tree planting, and carbon offsetting.
Twig’s closure marks the third UK fintech to cease operations in just a few days, following the shutdowns of open banking company Kikapay and business app Paysme, both of which attributed their struggles to the challenging macroeconomic environment.