Revolut, a fintech startup based in the UK, raised €460 million in its Series D funding, with TCV leading the round. Founded in 2015, the company is now valued at 5.5 billion US Dollars. While Revolut is not revealing investors for this round, previous investors include DST Global, Index Ventures, Balderton Capital and many others.
Revolut is a service looking to replace traditional bank accounts by utilising an app. Customers can open an account from the Revolut app, and, in just a few minutes, receive, send and spend money. They also provide a debit card. In addition to banking, Revolut allows customers to insure their phone, buy travel medical insurance, buy cryptocurrencies, buy shares, save money and more.
The company has more than 10 million customers, mostly in Europe and the UK. In 2019, daily active customers grew by 380% with the total number of users growing 169% in the same year. With its biggest competitor, German fintech company N26, pulling out of the UK market, Revolut could see an increase in its customer base.
With the funding, Revolut says it will improve its product for existing users. New features will include new lending services for customers as well as companies using Revolut for business. Revolut also seeks to roll out current features to markets outside of the UK. Outside of the UK, Revolut is currently live in mainland Europe, Singapore and Australia with plans to release in the U.S. and Japan in the future. The recently-launched savings vaults is a prime candidate to be released elsewhere. Besides rolling out new features, the company wants to improve its core features. One such improvement will be to its two subscription tiers, Premium and Metal, and improve operations across Europe.
On the topic of the funding, CEO Nik Storonsky said: “We’re on a mission to build a global financial platform — a single app where our customers can manage all of their daily finances, and this investment demonstrates investor confidence in our business model. Going forward, our focus is on rolling-out banking operations in Europe, increasing the number of people who use Revolut as their daily account, and striving towards profitability.”