Tuesday 21 August 2018

Irish payments start-up Plynk set to appoint liquidator

Plynk CEO Charles Dowd
Plynk CEO Charles Dowd
Adrian Weckler

Adrian Weckler

Plynk, the Dublin-based money-messaging app that announced a €25m funding round last year, has scheduled a creditors’ meeting to seek the appointment of Jim Stafford of Friel Stafford as liquidator.

The company’s chief executive, Charles Dowd, had said in March that the firm was undergoing a “funding crunch”.

Since then, co-founder Clive Foley has joined another company, LiveTiles, as chief technical architect.

A spokesman for Plynk was unavailable to immediately comment yesterday. The creditors’ meeting is scheduled to take place in Dublin on June 27.

Plynk was co-founded by ex-Facebook executive Mr Dowd and ex-Wonga executive Mr Foley in 2015.

Last year’s €25m equity raise was extraordinarily large for a young Irish company, bigger even than the $18m the Collison brother’s payment business Stripe raised in its early funding round in Silicon Valley.  Plynk’s service was set up to let people send small amounts of money to one another, such as when splitting a bill at a restaurant. It launched in a couple of European countries.

Linked to users’ Facebook accounts, the service was set up to send money as a message to a single contact or in-group chats instantly and with no fees.

It was designed to facilitate a dedicated Iban and virtual

Mastercard for online payments.

However, Plynk has struggled to gain traction in a payments market dominated by billion-dollar companies such as Circle and Square.

Apple and Facebook have also recently entered the market.

The bulk of the company’s €25m in funding commitments were from the European investment firm, Swiss Privé. However, it is unclear how much, if any, of that funding was drawn down.

Enterprise Ireland and the NDRC are also listed as shareholders in the startup.

Speaking to Independent.ie in March, Mr Dowd said that the service was experiencing a “crunch in funding”.

“We’ve had a few people leave during the struggles. Now we’re in the process of wrapping that issue up and moving on to the next tranche of funding.”

Irish Independent

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