UK-headquartered financial services app developer Revolut secured $800m yesterday in a series E round that included internet and telecommunications group SoftBank’s Vision Fund 2.
The corporate was joined by hedge fund manager Tiger Global Management and the funding was raised at a $33bn valuation.
Revolut initially focused on cross-border financial transfers but has expanded its mobile app-based services to encompass a range of products including bill settlement and splitting, salary advances, consumer cashback, wealth management and a dedicated business offering.
The cash has been earmarked for product development in addition to expanding the company’s US operations and entering the Indian market.
Karol Niewiadomski, senior investor for SoftBank Investment Advisers, which manages Vision Fund 2, said: “Revolut’s rate of innovation has redefined the role of financial services, placing Revolut at the forefront of Europe’s nascent neobanking sector.
“The company’s rapidly growing user base reflects a sustained demand for Revolut’s expanding suite of services. We look forward to supporting [founder and CEO Nikolay Storonsky] and the team in continued product innovation and bringing their services to new markets globally.”
Balderton Capital and Seedcamp supplied $2.3m for the company in 2015 before joining Point Nine, Venrex and Index Ventures in a $4.8m round in February 2016. All five took part in a $10m round alongside Ribbit Capital five months later.
Revolut received $66m in series B funding from Index Ventures, Balderton and Ribbit Capital in 2017, and DST Global led a $250m round at a $1.7bn valuation the following year, investing alongside Index Ventures and Ribbit Capital.
The company hiked its valuation to $5.5bn in February 2020, raising $500m in series D funding from TCV, Ribbit Capital, DST Global, Lakestar and GP Bullhound – the last two described as existing investors – before TSG Consumer Partners added $80m to close the round in July.
