UK challenger Monzo reportedly in talks to sell £300m stake at £3.5bn valuation
British challenger bank Monzo is reportedly looking to raise £300 million in fresh funds through a share sale, according to Sky News.
Monzo reportedly in talks to raise £300m
According to the report, Monzo is in discussions with a number of blue-chip investment funds to sell a stake which will value the firm at more than £3.5 billion, making it the highest valued digital bank in the country. Additionally, the fundraise is rumoured to be its last ahead of a potential initial public offering (IPO) in the future.
The news follows reports of the UK challenger eyeing a merger with Nordic neobank Lunar back in July. According to those reports, Monzo was in early stage talks with Lunar in a bid to expand across Europe, while also looking at another potential acquisition. However, in a recent interview with Tech.eu, Lunar CEO Ken Villum Klausen said the company doesn’t have “any intention to merge ourselves”.
Sources tell Sky News that the fundraising talks are currently ongoing, with details of the share sale and the investors involved due to be finalised by the end of this year.
Headquartered in London, Monzo was founded in 2015 and currently claims to serve more than 8.5 million customers. Earlier this month, the bank appointed Conor Walsh, former head of global product at Square’s mobile payment service Cash App, as its new US CEO as it looks to renew its push to tap into the US market.
