LONDON, UK: Augmentum Fintech plc (LSE: AUGM), Europe’s leading publicly listed fintech fund, announces that it has made a further £4 million investment into digital bank, Zopa, as part of a £75 million funding round alongside other existing investors.
The funding will be used to support London-headquartered Zopa’s next phase of growth, meeting the capital requirements of its growing balance sheet, and supporting M&A activity.
Since being awarded a UK banking licence in 2020, Zopa has attracted £3 billion in deposits, more than £2 billion in balance sheet loans and issued more than 400,000 credit cards.
Despite the challenging macroeconomic environment, Zopa continues to grow revenue by more than 100% year on year, driven by the continued expansion of its suite of digital-first financial products, and became profitable in April 2022.
Zopa was named “Bank of the Year” 2022 at the AltFi Awards, and previously “Best Personal Loan Provider” and “Best Credit Card Provider” at the British Bank Awards.
Tim Levene, CEO of Augmentum Fintech, said: “This funding round marks the start of the next chapter for Zopa and we are pleased to support their growth. The Zopa team have continued to execute on their growth plans despite an uncertain macro backdrop, bolstered by world class digital capabilities and 17 years of lending experience”.
Augmentum Fintech invests in fast growing fintech businesses that are disrupting the financial services sector. Augmentum is the UK’s only publicly listed investment company focusing on the fintech sector in the UK and wider Europe, having launched on the main market of the London Stock Exchange in 2018, giving businesses access to patient capital and support, unrestricted by conventional fund timelines and giving public markets investors access to a largely privately held investment sector during its main period of growth.