Paul Taylor/ Thought Machine
Thought Machine doubles valuation to $2.7bn following $160m funding round
Paul Taylor, founder and CEO of London-based Thought Machine, said luring in some big-hitting investors like Morgan Stanley marked a “statement of intent”.
Cloud banking provider Thought Machine has seen its valuation double to $2.7bn following a $160m Series D funding raise.
The funding was led by new investor Temasek, the Singapore-headquartered investment firm, and new investors also included Morgan Stanley and Intesa Sanpaolo, the Italian banking group.
Paul Taylor, founder and CEO of London-based Thought Machine, said luring in the trio of new investors marked a “statement of intent”.
Existing investors which participated included private equity firm Eurazeo, ING, JPMorgan Chase, and Lloyds Banking Group.
Launched in 2014, Thought Machine provides its cloud-based banking infrastructure Vault to more than 35 banks globally.
The platform contains a range of banking services, including checking accounts, savings accounts, loans, credit cards and mortgages.
Funds from the round will be used to fuel Thought Machine’s expansion plans, including in Asia Pacific, where it wants to grow in markets such as Vietnam, Thailand, Indonesia and the Philippines.
Thought Machine has recently opened a new office in Sydney to expand its operations in Australia and is opening a new office in Miami to service Latin America.
Additionally, the funds will be invested in technology, expanding its core banking platform and innovating in new product lines.
Thought Machine also said that Lloyds Banking Group, an early investor and a participant in this round, has extended its licence agreement with the business until 2029 to use Vault.
“This marks a long-term investment: we’ve left the world of venture capital, “It’s a very hot market — we can never expand quickly enough to meet demand from banks,” Taylor told the Financial Times.
He also said that Thought Machine would likely go public in around three years, following a period of growth and profit, and it could list in London.