Monzo is on the brink of securing a new funding round that could see the British digital bank’s valuation soar to approximately £4bn.
Sources close to the matter have told the Financial Times that the FinTech firm might close the deal within the next fortnight, aiming to raise up to £350m from a combination of new and existing investors. Prior to the injection of fresh capital, Monzo’s valuation stands at around £3.6bn.
Leading the charge in this funding round is Alphabet’s investment arm, CapitalG, with contributions also coming from a diverse group of investors including China’s Tencent and the US-based FinTech investor, Ribbit Capital.
Additionally, HongShan, a major Chinese venture capital firm which recently separated from Sequoia Capital, is expected to participate in the round alongside other investors.
Monzo’s last funding round in 2021 valued the company at about £3.5bn, with financial backing from entities such as Tencent, the Abu Dhabi Growth Fund, Coatue, and Accel.
Since its establishment in 2015, the London-headquartered company now operates in the US and has introduced services including a buy now, pay later option and an investment platform. Recently, Monzo announced it had reached over 9 million customers, gaining 2 million new users in 2023 alone, and now serves more than 380,000 business accounts.
Keep up with all the latest FinTech news here.
Copyright © 2024 FinTech Global
