Zopa Bank has confirmed a fundraising of $ 300million (Â£ 220million) as part of its IPO plans.
The digital bank, an offshoot of the world’s oldest peer-to-peer lender, revealed its latest financial injection was led by Softbank and also includes support from existing investors IAG Silverstripe, Davidson Kempner Capital Management LP, NorthZone and Augmentum Fintech .
The deal was rumored last week and was announced at the World Investment Summit today (October 19), which was attended by Prime Minister Boris Johnson.
It has been described as a pre-initial public offering (IPO) financing round that will increase its balance sheet and help it meet capital requirements.
Zopa’s IPO is expected to take place next year, and it will be the second P2P IPO in the UK, following Funding Circle’s Â£ 300million listing in 2018.
Read more: Zopa reviews the “strategic direction” of the P2P lending platform
âIn a very crowded ecosystem that often focuses on checking accounts or other free money management offerings, Zopa meets the needs of customers by focusing on how they borrow and save, the two things that matter. the most impact on their finances, “Jaidev Janardana (photo), said the CEO of Zopa.
âSoftbank’s investment in our future is a clear validation of Zopa’s responsible, sustainable and profitable lending approach, our strong unity economy and our vision to build the UK’s best performing bank with the most satisfied customers. “
Sourav Sen, investor for SoftBank Investor Advisers, described Zopa as “a leading player in the UK’s nascent neo-banking industry”.
Augmentum Fintech has invested Â£ 10million in the funding round.
“This Â£ 220million capital injection will allow them to continue on this accelerated path and further evolve their diverse product set.” Tim Levene, Managing Director of Augmentum Fintech, said.