Monzo is eyeing a valuation of £4billion in its latest funding round – not much more than it was worth three years ago.
The online bank is set to finalise a deal in the next two weeks to raise as much as £350million from old and new investors, according to reports.
This will value the UK fintech at around £3.6billion – or some £4billion after taking into account the fresh cash.
But this price tag is only slightly more than the group was given in 2021 when it was valued at £3.5billion.
Monzo, which was founded in 2015 and has about 9m customers in the UK, declined to comment on the valuation, which was first reported by the Financial Times.
But Danni Hewson, analyst at investment platform AJ Bell, has suggested that Monzo has suffered in a difficult economic backdrop.
She said: ‘Valuations don’t always follow a straight line and the past couple of years has been taxing for UK markets.
‘That said, this fund raising is a big vote of confidence in the business and an injection of capital that will help it continue to muscle its way deeper into the status quo of the UK banking sector.’
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