Revolut, a British-based digital banking app, has collected $800 million in fresh funding together with Softbank’s Vision Fund and Tiger Global Management, pushing up the value of the outfit to over $33 billion.
This makes this digital App, UK most valuable fintech company, ahead of Natwest, the biggest lender.
The App was valued at $5.5 billion when it raised $500 million in early 2020 and had been eyeing $20 billion around June this year.
Such impressive valuations are increasingly common in the financial technology sector, with payments company Wise valued at $11 billion considered UK’s largest tech listing to date.
Established six years ago by former Credit Suisse trader Nik Storonsky and developer Vladyslav Yatsenko, this banking App now has 16 million customers, offering a wide range of products such as cryptocurrencies, foreign exchange and stock trading.
Interestingly, Revolut has not yet turned its fast growth into profits, with its losses going up due to risk control investments.
The banking App has been on a rapid expansion into new horizons, including the USA, Australia and Japan. The cash raised by Revolut will be channelled to product development and marketing in countries where Revolut has a presence.
The investment round had the underwriting of UK’s finance minister Rishi Sunak, keen to develop Britain’s fintech sector after exit from the European Union.