London-based Monzo, a digital bank, announced that it has secured £340M (nearly €397.91M) in a fresh round of funding. The round values the bank at £4B (nearly €4.68B).
The investment was led by CapitalG, Alphabet’s growth fund, and joined by tech giants GV and HSG, along with existing backers like Passion Capital and Tencent.
Gene Frantz, General Partner at CapitalG, says, “We’re thrilled to lead this investment round in Monzo. In an industry long rife with stagnation and uninspired customer service, Monzo has emerged as the innovative, customer-centric bank that consumers have long craved.”
“Led by CEO TS Anil, Monzo is an exceptional company combining the best of banking and technology.”
“We’re excited to support Monzo’s journey to provide customers in the UK and beyond with unique and inspiring digital experiences that they can depend on for all of their financial needs.”
Capital utilisation
Monzo, having reported a profitable year, plans to use the newly raised funds for expansion.
With millions of new customers and diverse product offerings, the funding will fuel Monzo’s product roadmap, aiming to become the primary app for managing customers’ entire financial lives.
The bank’s achievements include securing over 9 million customers, 400,000 business clients, doubled revenues, profitability since March 2023, and successful launches like Instant Access Savings and the innovative Call Status fraud prevention feature.
TS Anil, CEO of Monzo, says, “We’ve built incredible momentum in the business over the past few years which has led to us reaching more than 9 million customers, turning profitable and launching even more ground-breaking products.”
“With backing from global investors, we have the rocket fuel to go after our ambitions harder and faster, building Monzo into the one app that sits at the centre of our customers’ financial lives.”
“Each milestone we’ve reached to this point has given us more strength and speed to make strides towards our mission – now we’ll scale to even greater heights and seize the huge opportunity ahead.”
Brief about Monzo
Founded in 2015, Monzo aims to build banking by creating a smartphone-centric and contemporary banking experience. Officially regulated as a bank in August 2016, Monzo operates with a team of over 2,000 from its London headquarters and remote locations.
Monzo ranks as the 7th largest UK bank by customer numbers. The bank collaborates with customers to co-create tools that empower them to manage their finances.
