New banks

Challenger bank N26 raises $300 million, gears up for US launch

  • The Germany-based challenger bank has global ambitions.
  • This investment comes after a large round in 2018.
Challenger bank N26 raises $300 million, gears up for US launch

Challenger bank, N26 announced a $300 million Series D round. The funding comes as somewhat of a surprise, as the company closed a $160 million round in early 2018.

The global ambitions of N26: TechCrunch cites three reasons why Germany-based N26 raised this warchest now:

  1. N26’s user base tripled in a year (N26 currently has 2.3 million accounts) and about a third of customers are paying for the company’s premium Black or Metal accounts.
  2. Valuations have grown for the challenger bank. The last round was done at under $1 billion. In this round, N26 was valued at $2.7 billion
  3. The company has global ambitions and is preparing for a U.S. launch. The firm will need deep pockets to penetrate competitive markets.

2019 shaping up to be the year of the challenger banks: N26’s competitors, Monzo (£211.7) and Revolut (£336M) have both raised significantly large amounts of capital and have goals of going global. In the US, they’ll have to contend with domestic challengers, like Chime, as well as the digital arms of incumbent banks, like Chase’s Finn.

 

New banks

Webinar: 2019 is the year of the challenger bank

  • Revolut and N26 join Chime in a race to amass a US customer base.
  • Tearsheet is hosting a webinar to meet the players.
Zack Miller | January 22, 2019
New banks

‘It’s not us versus them’: How Radius Bank refined its partnership strategy with fintech firms

  • With $1 billion in assets, Radius Bank looks to partner with fintech firms.
  • A recent relaunch of its digital offering has the company thinking bigger.
Zack Miller | January 07, 2019
New banks

‘Now we can scale’: Inside 91-year old Valley National Bank’s path to digitization

  • Valley National Bank made 40 acquisitions over its 91 years.
  • Its road to digitization began with CRM and improving commercial lending.
Zack Miller | January 02, 2019
New banks

4 things we learned about Chase’s mobile banking and payments business in 2018

  • Chase seems to be upping the ante across mobile banking and payments.
  • Chase is competing with everyone.
Zack Miller | January 01, 2019
New banks

With new banking license, Zopa intends to launch a different type of bank

  • Zopa is a leading peer to peer lender in the UK.
  • It's been focused on launching a retail bank.
Zack Miller | December 06, 2018