UK mobile bank Monzo has closed its Series B round of institutional funding, having raised a further £19.5m of capital, valuing the business at £65m in total.
Thrive Capital, a New York VC house, is the principle investor in the funding round. The VC arm of Telecom firm Orange, Orange Digital Ventures, and previous investors Passion Capital were also involved in the capital raising.
The bank is also planning a further round of crowdfunding to complete its current funding cycle, a process it is very familiar with, having broken the record for the fastest raising of a million pounds previously (in 96 seconds).
Crowdfunded investments will be capped at £1,000, with the aim to raise a further £2.5m to bring the total investment to £22m. Previous investors will be eligible to invest again, if the capital crowdfunded exceeds £2.5m there will be a ballot to determine which pledges will be accepted.
The capital has been raised principally to fund the launch of the bank’s current account facility, which is expected to be available to account holders before the end of 2017.
Bobsguide recently conducted an exclusive interview with Tom Blomfield, published this week, which includes his thoughts on why Monzo is going to put a number of high street banks out of business, as well as a detailed description of the Monzo business strategy.
To read that interview click here.
Related reading
Payments world overlooking SCA
A senior payment professional has revealed that Open Banking, GDPR and 3D Secure 2.0 dominate client conversations while Strong Customer Authentication (SCA) is not a priority despite the deadline for compliance fast approaching.
Interconnection key in growing payments ecosystem
Over the past few years, technological advances, regulatory changes and the introduction of a range of new market participants has driven efficiencies ... read more
Mastercard’s head of emerging payments: SMEs will look to fintech without bank innovation
Microbusinesses and SMEs are looking at fintechs and new market entrants to provide their financial services as their existing banks have “never ... read more
Fraud has evolved but the payments framework needs to follow
By Dave Excell, founder and CTO of Featurespace One of the biggest challenges facing banks, issuers and retailers around card-not-present (CNP) fraud ... read more
