From CNBC: 2024-05-08 05:24:35

British neobank Monzo raised an additional $190 million, bringing its total funding for the year to $610 million. New investors include Hedosophia and Alphabet’s CapitalG. The latest funding round values Monzo at $5.2 billion, making it the biggest European fintech funding in the past year.

Monzo CEO TS Anil plans to use the funds to develop new products and expand internationally. Monzo entered profitability for the first time last year and is looking to diversify into lending and savings. Monzo aims to launch a pensions product within the next six to nine months, competing with traditional lenders like Barclays and NatWest.

Monzo embarked on a global expansion strategy, reaching 9 million retail customers in the U.K., with over 400,000 business customers. The company made its first investment feature with BlackRock, attracting new investors. Anil is focusing on expanding internationally, restarting U.S. efforts and hiring a new CEO.

Monzo plans to launch mortgages and expand further throughout Europe. While Anil sees Monzo as a potential public company, there are no immediate IPO plans. Anil aims to grow Monzo at scale before considering going public.

Read more: Monzo boosts funding to $610 million to crack U.S., launch UK pensions