Augmentum Fintech doubles money on Cushon investment after NatWest sale

Cushon, a workplace savings and pensions fintech, has been fully acquired by NatWest Bank for £144m.

Sitting in NatWest’s wider wealth business, Cushon offers a workplace pension product as well as a range of workplace ISAs, including Junior ISAs, Lifetime ISAs and a General Investment Account.

A soft launch is planned for  Q4 2023 with a full launch in Q1 2024 via NatWest’s Commercial & Institutional and Coutts Wealth businesses.

“This is the next exciting chapter for a great British fintech as we join forces with a great British bank. Together with NatWest Group, we can’t wait to drive more positive disruption and innovation in workplace savings and pensions, and help millions more people across the UK build a feel-good future. What a great success story for the UK fintech sector,” said Ben Pollard, CEO and co-founder of Cushon.

The deal has handed one of the company’s largest investors a more than 100 per cent return. 

Listed fintech fund Augmentum Fintech led Cushon’s Series A round in June 2021. It initially invested £5m, further topping this up with another £5.8m. 

Off the back of the acquisition, Augmentum will receive £22.8m, an internal rate of return of 61 per cent.

The deal is Augmentum’s fifth portfolio investment exit.