A new tech company worth $33 billion has been established in the UK
Revolut was valued at $33 Billion in a new fundraising round by SoftBank ( SWTF) & Tiger Global Management. The London-based digital bank startup, said in a statement Thursday.
The company stated that it will use the $800million raised to develop new products and expand operations in the United States. It also plans to enter new markets, including India.
Revolut was launched in the United Kingdom by Revolut in 2015. It quickly became popular among frequent travelers who use it to convert currencies and avoid expensive ATM fees abroad. Since then, it has expanded to offer wealth management and investment services.
Revolut is now the most valuable financial tech company in the United Kingdom thanks to the fundraising round. The company’s value is $33 billion more than NatWest, which is one of the country’s Big Four retail banks.
Nikolay Storonsky, founder and CEO of Revolut, stated in a statement that “As our business expands into new markets, we are encouraged and motivated by our customers’ enthusiasm about Revolut” and added that he was looking forward to using the investment to further his mission.
UK technology companies are being flooded with money from investors. Wise, a rival to Revolut, has seen its shares rise by more than 20% in the year since Wise went public in London in July 7.
According to a report by London & Partners and Dealroom, there are 29 financial technology unicorns in London, which is a group of startups worth more than $1 million. London was second only to San Francisco in terms of venture capital investments in fintech, with a record $5.3 Billion in the first six months.
Revolut is now at the forefront of the UK tech market thanks to the backing of US firm Tiger Global as well as the SoftBank Vision Fund. This fund, led by Masayoshi’s son, is a leading investor in technology. The startup was valued at $5.5 billion in a fundraising round last year.
Storonsky stated that SoftBank’s and Tiger Globals’ investments were an endorsement of our mission, which is to create a global super app that allows customers to manage all aspects of their finances through one platform.
Revolut received a bank license from the European Central Bank in 2018 and applied earlier this year for a full license to operate in the United Kingdom. It serves more than 16,000,000 customers worldwide.