UK digital challenger bank Monzo is in talks to raise £300 million in funding at a valuation of more than £3.5 billion, according to Sky News.
The firm is in talks about the share sale with investors and is expected to finalise a deal by the end of the year, says Sky, citing sources. It could be the final raise before an IPO.
Monzo last raised money in late 2021, securing $500 million at a $4.5 billion valuation - three times the £1.1 billion price tag it attracted in its previous discounted capital-raise earlier that year.
After a rocky pandemic, the lender has bounced back strongly: it now has more than eight million customers and is expected to finally hit profitability this year.
Earlier this month, the British outfit hired former Cash App global product head Conor Walsh to lead a renewed push into the US market.
Over the summer it was also reported that Monzo was exploring a merger with Nordic peer Luna in a bid to expand into Europe.