Monzo has revealed that it has raised £71m through its latest fundraising round.
Monzo’s investment round attracted strong interest from US investors, with investments from Goodwater Capital, Stripe and Michael Moritz via his charitable investment vehicles, including the Crankstart Foundation.
Passion Capital, Thrive Capital and Orange Digital Ventures also made follow-on investments in the mobile bank.
The new financing means that Monzo is now valued at £280m, double its valuation at the time of its previous round of funding in February 2017.
The finance will be used to strengthen Monzo’s hiring efforts as the team looks to support its growing user base.
“This is an incredible endorsement of our strategy so far, and sets us up to continue the growth we’ve seen this year into 2018,” said Tom Blomfield, CEO of Monzo (pictured above).
“To help us achieve our ambition, we will continue to hire talented people, focus on building the best product and bring Monzo to as many people as possible.
“We’re grateful and flattered to be joined by such high-calibre investors, who have unparalleled experience in growing and scaling globally successful businesses.”
Some £1.5m of this current funding round has been reserved to allow existing crowdfunding investors to increase their investment amounts if they choose.
More than 8,000 people have invested in Monzo through crowdfunding and last year the bank raised £1m in 96 seconds.
Monzo has revealed that it plans to launch a large crowdfunding campaign in 2018 to give as many people as possible the chance to invest.
“Monzo’s growth in the UK has been incredible, and the fact that it’s been driven by word of mouth makes it even more exciting,” said Chi-Hua Chien, managing partner of Goodwater Capital.
“Customers love Monzo because the company treats them right, solves their problems and does so with total transparency.
“These values express themselves powerfully through Monzo’s leadership team, world-class product and innovative services.”
Monzo has already begun rolling out current accounts to existing users, a process that it aims to complete by the end of the year, while the wider public can now download the app and join the waiting list for current accounts, which will be offered to new users at the start of 2018.
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