Monzo doubles valuation to £2 billion after fresh capital injection

UK challenger bank Monzo has doubled its valuation to £2 billion after raising £113 million to help fund its expansion to the US.

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Monzo doubles valuation to £2 billion after fresh capital injection

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The round was led by US investment firm Y Combinator, with participation from Latitude, General Catalyst, Stripe, Passion Capital, Thrive, Goodwater, Accel, and Orange Digital Ventures.

Monzo caused a stir earlier this month when it confirmed that it will open its first accounts to US consumers in summer 2019.

The app-based bank has opened a waitlist and will host face-to-face events in major US cities, a few hundred people at a time, over the coming months.

The UK challenger, which has amassed two million customers in the two years since it achieved its banking licence, says it will begin the roll out with a Mastercard debit card and mobile app, enabling savers to get instant spending notifications, conduct P2P payments, split money into pots, and enjoy fee-free spending abroad.

It plans to partner with FDIC-insured Sutton Bank at launch before applying for its own US licence.

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