Karmen, a French fintech specialising in short-term financing and working capital for businesses, has secured €50 million in new financing capacity from Sienna Investment Managers. The deal marks Karmen's third refinancing in four years. The funding will enable Karmen to offer financing between €20,000 and €3 million with maturities ranging from two to 24 months. The company plans to expand its Karmen Factor solution, which allows businesses to finance invoices without ceding receivables, and develop its embedded financing offering through its "Capital as a Service" API. Karmen operates partnerships with Qonto and Tide, integrating working capital solutions directly into banking and management tools. The company recently acquired Silvr in the fourth quarter of 2025, strengthening its position in the working capital financing market.

Sienna Investment Managers (Sienna IM) has secured over €270 million in commitments for its private credit strategy focused on European defence-related SMEs and mid-caps. The strategy includes the Sienna Hephaistos fund and aims to raise €500 million to €1 billion by 2026. It will finance 30-40 companies in the European defence sector, supporting their working capital and capital expenditure needs amid rising geopolitical tensions.