N26 set to scoop investment from Spotify investor Dragoneer
The German digital bank’s valuation has reportedly leapt to $10bn, making it one of Europe’s most valuable fintechs.
A mega funding round is a badge of honour for a digital bank and N26 is reportedly raising its latest.
According to Sky News, the German digital bank looks set to receive a “substantial sum of money” from early Spotify investor Dragoneer Investment Group.
Thanks to the rumoured investment, N26 would see its valuation jump to $10bn—up from $3.5bn—making it one of the most valuable startups in Europe.
Since 2019, N26 has raised roughly $600m, the lion’s share of which comes from a massive $570m Series D, which the bank has now extended three times, the bank previously added another $100m in May 2020.
Most of the funding came from long-time investor VC firm Earlybird and the family behind jewellery powerhouse Swarovski invested in the bank for the first time through its subsidiary, asset manager Crystalon Finanz AG.
Dr Jan Kemper, the former CFO of e-commerce platform Zalando, stepped into the role to help N26 work towards its inevitable IPO.
According to the bank, its launch in Brazil cost €25m, while its failed UK expansion plans cost nearly €27m.
The regulator told the digital bank to sharpen up its anti-money laundering (AML) capabilities and that it would need to play host to a special representative from BaFin to keep an even closer eye on the challenger bank.
AltFi reached out to N26 for comment but it declined to provide one.