By Lisa Walls-Hester on 23rd February 2017
UK challenger bank Monzo has agreed on a new £19.5M investment round with US-based Thrive Capital, London’s Passion Capital, and Orange Digital Ventures and says it is also planning another crowd round of £2.5M.
This latest round gives the bank, which gained a banking license last summer but is yet to fully launch, a valuation of £65M.
Monzo’s last round funded in a record-breaking 96 seconds so it has taken extra measures this time to “ensure as many people as possible have a fair chance to invest.”
“Last year our community invested £1M in Monzo, in what is still the fastest crowdfunding round in history, the response was just incredible," said the bank in a statement. "We’ve been determined to do another crowdfunding round and so, as part of this raise, we’ve reserved a further £2.5M for our community, who can invest at the same valuation as Thrive, Passion, and Orange.”
The crowdfunding round will run on Crowdcube and start on February 28th, with a pre-registration period lasting two weeks. Investors can pledge as little as £10 to a maximum of £1,000 per person. If the offer is oversubscribed a ballot will be run.
Monzo says the new capital will be used to launch current accounts later this year, expand its team, and continue to develop the bank.
AltFi is returning to Amsterdam for its second annual Summit in the city. The inaugural event last year was a roaring success, with key figures from across Continental Europe's alternative finance and digital banking sectors highlighted. These included Jeroen Broekema, managing director of Funding Circle Netherlands, and Mieke van Engelen, head of innovative partnerships at ABN AMRO's standalone lending platform, New10.