N26, the mobile-only challenger bank, has raised $300 million in Series D funding at a valuation of $2.7 billion. The round was led by New York-based venture capital and private equity firm Insight Venture Partners, with participation from GIC, Singapore’s sovereign wealth fund, and several existing backers.
The fast-growing fintech is building what it claims to be the first global mobile bank. It currently operates in 24 markets across Europe and has more than tripled its customer base in the last 12 months to over 2.3 million customers, with ambitions to reach more than 100 million customers worldwide.
Valentin Stalf, CEO and co-founder of N26, said:
“Around the world, millions of people still suffer from bad banking experiences and high fees. With Insight Venture Partners and GIC joining our renowned group of existing investors, N26 has the support of the best investors globally to disrupt one of the largest industries in the world.”
Harley Miller, principal at Insight Venture Partners, added:
“It’s increasingly rare these days to come across such a massive industry which hasn’t experienced disruption by technology. N26 is the clear market leader in the European mobile banking industry; the company is ideally positioned to expand to the US market this year, and build a formidable global digital consumer brand.”
To date, N26 has raised over $500 million from the likes of Tencent, Allianz X and Peter Thiel’s Valar Ventures. The company will use the proceeds to drive global expansion, starting with the US launch of its mobile banking product in the first half of 2019.