U.Ok.-based digital financial institution Zopa raised $87 million in an fairness spherical led by A.P. Moller Holding and current buyers.
The spherical boosts Zopa’s complete funding to $1.067 billion.
Regardless of declaring plans for a 2022 IPO throughout its 2021 funding spherical, Zopa has determined to attend for higher market situations.
Digital financial institution Zopa appears to be impervious to the downturn within the fintech funding setting. The U.Ok.-based fintech has simply raised $87 million (€80 million), boosting its complete raised to $1.067 billion. The fairness spherical was led by A.P. Moller Holding and current buyers.
Whereas the funding comes at a time throughout which many fintechs are experiencing a funding dry spell, this isn’t the primary time Zopa has crushed the percentages. In February 2023, Zopa raised a powerful $92 million (£75 million) from current buyers in addition to an undisclosed lead investor. On the time, the corporate mentioned the spherical “cements and enhances” its unicorn standing.
Zopa, which initially launched as a peer-to-peer lending platform in 2005, pivoted to turn out to be a digital financial institution in 2020, when it acquired its full banking license from the Monetary Conduct Authority. Right this moment, the corporate holds greater than £5 billion in deposits for its 1.3 million prospects. Zopa’s platform goals to assist customers enhance their monetary well being by way of financial savings instruments, lending merchandise, bank card choices, and numerous automobile financing instruments. So far, Zopa has lent greater than $16.6 billion (£13 billion) to shoppers within the U.Ok. and at the moment has £3 billion in loans on its steadiness sheet.
“Right this moment’s fundraise validates our monetary efficiency and progress potential,” mentioned Zopa CEO Jaidev Janardana. “Since launching our financial institution in 2020, we’ve constantly provided monetary merchandise that provide nice worth and ease to our prospects, supporting our imaginative and prescient to construct Britain’s finest financial institution. We’re thrilled to have buyers who share our pleasure on the alternative to serve extra prospects throughout extra product classes as we purpose to turn out to be the go-to financial institution for thousands and thousands of shoppers.”
Notably, whereas Zopa billed its 2021 funding spherical as a “pre-IPO spherical,” declaring plans to go public by the tip of 2022, it seems that plans have modified. The corporate informed TechCrunch that it’s not at the moment pursuing an IPO. “We are going to anticipate the markets to revive and be extra constructive,” mentioned Janardana in an interview. Curiously, Klarna, one other fintech that delayed its IPO plans, not too long ago filed to go public in 2025. The outcomes of Klarna’s public providing at the moment will both persuade Zopa that it’s time to IPO or assist to cement its choice to proceed working as a non-public firm.
Photograph by Matheus Bertelli
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