Fintech Unicorn N26 raises more than $100M in extension of its Series D funding
The Funding will further accelerate product development and strengthen footprint in core markets
- N26 extends its Series D funding round to $570M, making it one of world’s highest valued and most well-funded FinTechs
- The extension of more than $100M will help cement the company's position leading the global shift towards digital banking, at a time of unprecedented demand for mobile banking solutions
- All of N26’s major investors participated in the extension of the funding round, reaffirming their long-term support of N26’s vision and ambition to transform retail banking globally
Berlin - N26 GmbH ("N26") has today announced an extension to its Series D funding round to $570M, with a further increase of more than $100M coming from all of the company’s major investors solidifying their commitment to N26’s long term mission. To date, N26 has raised close to $800M, keeping its valuation at $3.5B. N26 GmbH remains one of the highest valued and most well-funded FinTech companies globally.
The funds will be used to accelerate N26’s product development and strengthen its footprint in its core markets, where the demand for mobile banking is higher than ever before.
“The adoption of digital banking is accelerating as the world adjusts to a new normal. As one of the world’s leading challenger banks, N26 is front and center in this shift. We are fully committed to spearheading digital innovation globally, creating world-class mobile banking solutions for all our customers around the world,” said Valentin Stalf, co-founder and CEO of N26.
The extension underscores the strong commitment from N26’s investor base to its long-term vision to build a mobile banking platform the world loves to use.
“In these turbulent times, digital banking is no longer a thing of the future, but a part of everyday reality. With 5 million users, and 250 thousand in the U.S., N26 is just at the beginning of its journey to transform the face of banking globally. This funding extension will help an already well-funded and successful business take the lead at a time when people are embracing digital banking more than ever,” said James Fitzgerald from New York based venture capital fund, Valar Ventures.
With changes in consumer spending, banking habits and attitudes towards saving in the wake of the COVID-19 crisis, the company is expecting a long-term shift to digital banking adoption overall as people continue to do their banking digitally once the economy reopens.
“In the last month, we’ve seen many people moving away from cash towards contactless payments and e-commerce. We are also encouraged to see that many of our U.S. users are putting their salaries into their N26 accounts, signaling that N26 is serving as a primary banking solution for them,” said Nicolas Kopp, U.S. CEO.
A few product features that are resonating with the US market include our Apple Pay integration, the ability for our customers to get their pay check up to 2 days earlier with direct deposit, an ATM locator maps found directly in the app that show customers where to withdraw money without fees, and Spaces sub-accounts that help customers save for their goals.
Customers also enjoy cashback offers and exclusive discounts with music, fitness, meditation and lifestyle brands as part of the N26 perks program in the spirit of helping people live life to the fullest.
In the coming months, N26 will continue to invest in growing its presence across Europe and the US. In the US, the company launched last August and announced in February that it had acquired 250 thousand customers in a short 5 months.
N26 Press Contact press-US@n26.com
N26 GmbH (“N26”) is building the first mobile banking platform the world loves to use. Valentin Stalf and Maximilian Tayenthal founded N26 in 2013 and launched the initial product in early 2015. Today N26 has more than 7 million customers in 25 markets. The company employs more than 1,500 employees across 8 office locations: Berlin, Barcelona, Madrid, Milan, Paris, Vienna, New York and São Paulo. With a full European banking license, state-of-the-art technology and no branch network, N26 has redesigned banking for the 21st century and is available on Android, iOS and desktop. N26 has raised close to $950 million from the world’s most established investors, including Insight Venture Partners, GIC, Tencent, Allianz X, Peter Thiel’s Valar Ventures, Li Ka-Shing’s Horizons Ventures, Earlybird Venture Capital, Greyhound Capital, Battery Ventures, in addition to members of the Zalando management board, and Redalpine Ventures. N26 currently operates in: Austria, Belgium, Denmark, Estonia, Finland, France, Germany, Greece, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, Switzerland and the U.S., where it operates via its wholly-owned subsidiary, N26 Inc., based in New York. Banking services in the U.S. are offered by N26 Inc. in partnership with Axos Bank®, Member FDIC. For more information about N26, please visit n26.com.
N26 Press Contact
About Axos Bank
Axos Bank is a federally-chartered nationwide U.S. savings association that provides consumer and business banking products through its low-cost distribution channels and affinity partners. With approximately $11 billion in assets, Axos Bank provides financing for single and multi-family residential properties, small, medium and large businesses in target sectors, and selected specialty finance receivables. Axos Bank is a wholly-owned subsidiary of Axos Financial, Inc., a financial services holding company listed on the NYSE under the symbol “AX” and a component of the Russell 2000® Index and the S&P SmallCap 600® Index. For more information about Axos Bank, please visit axosbank.com.