Australian challenger bank Judo Bank has pushed past the $1bn valuation mark and officially become a FinTech unicorn on the back of its latest raise.
The business-focused neobank has collected $230m in the venture’s third funding round to date. It has raised $750m in total since the launch in 2018. It plans to use the money to boost its national footprint and to further develop its services.
Judo Bank didn’t bring in any new investors to the raise, but relied on the support of existing backers Bain Capital Credit, Myer Family Investments, Ironbridge and the Abu Dhabi Capital Group.
“The support we’ve received for our third round, at an increased valuation to our second round capital raise last year, underscores the confidence and commitment our existing investors have in Judo, particularly at a time of extreme volatility in global markets, that has impacted all bank valuations,” said David Hornery, co-founder of Judo Bank, in a statement seen by The Sidney Morning Herald.
Judo Bank is one of several challenger banks that have popped up across Australia in the past two years. Much of the rise of Aussie neobanks is due to combination of factors, including a change in the attitude from regulators to be more welcoming for FinTech startups, and several highly publicised scandals regarding the big incumbent banks.
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