Total amount raised
£674 Million
Latest funding date
11/1/2023
Location
Atom Bank has successfully raised funds through 11 different funding rounds, with notable investors including Banco Bilbao Vizcaya Argentaria and Infinity Investment Partners. The bank offers a range of personal and business banking products through its app-based platform.
Keep reading to explore the intricacies of Atom Bank's fundraising journey and the investors backing this innovative digital bank.
What Is Atom Bank?
Atom Bank, founded in 2014, is the UK's first app-based digital bank. Headquartered in Newcastle, it offers a range of financial products including savings accounts, mortgages, and business loans. The bank emphasizes ease of use, competitive rates, and strong security features.
Operating without physical branches, Atom Bank leverages technology to provide better value and customer service. The company has between 501-1000 employees and is regulated by the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA).
How Much Funding Has Atom Bank Raised?
- Private Equity Round
- Amount Raised: GBP 100,000,000
- Date: November 2023
- Lead Investors: Not publicly disclosed
- Valuation at Round: GBP 362,000,000
- Motivation Behind the Round: To accelerate lending activities and grow the balance sheet.
- Private Equity Round
- Amount Raised: GBP 30,000,000
- Date: November 2022
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support growth and operational expansion.
- Private Equity Round
- Amount Raised: GBP 75,000,000
- Date: February 2022
- Lead Investors: Banco Bilbao Vizcaya Argentaria, Toscafund Asset Management
- Valuation at Round: GBP 435,000,000
- Motivation Behind the Round: To prepare for a potential IPO and support business growth.
- Series Unknown
- Amount Raised: GBP 40,000,000
- Date: April 2021
- Lead Investors: Banco Bilbao Vizcaya Argentaria, Toscafund Asset Management
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance product offerings and expand market reach.
- Grant
- Amount Raised: GBP 10,000,000
- Date: August 2019
- Lead Investors: Capability and Innovation Fund
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support innovation and development of new financial products.
- Series Unknown
- Amount Raised: GBP 50,000,000
- Date: July 2019
- Lead Investors: Banco Bilbao Vizcaya Argentaria
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the customer base and enhance digital banking services.
- Series Unknown
- Amount Raised: GBP 149,000,000
- Date: March 2018
- Lead Investors: Banco Bilbao Vizcaya Argentaria
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and improve technological infrastructure.
- Debt Financing
- Amount Raised: GBP 30,000,000
- Date: June 2017
- Lead Investors: British Business Bank Investments
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support lending activities and business expansion.
- Series Unknown
- Amount Raised: GBP 83,000,000
- Date: March 2017
- Lead Investors: Banco Bilbao Vizcaya Argentaria
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance customer experience and expand product offerings.
- Series Unknown
- Amount Raised: GBP 82,000,000
- Date: November 2015
- Lead Investors: Banco Bilbao Vizcaya Argentaria
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To launch the bank and develop its initial product suite.
Total Amount Raised: GBP 729,000,000
Current Valuation: GBP 362,000,000
Key Investors
- Banco Bilbao Vizcaya Argentaria (BBVA)
- Details: BBVA is a multinational Spanish banking group. It has been a long-term investor in Atom Bank, participating in multiple funding rounds.
- Investment Focus Areas: Banking, financial services, fintech.
- Notable Investments: Atom Bank, Simple, Solarisbank.
- Toscafund Asset Management
- Details: Toscafund is an investment management firm based in London. It specializes in managing hedge funds and private equity investments.
- Investment Focus Areas: Financial services, technology, real estate.
- Notable Investments: Atom Bank, OakNorth Bank, Esure.
- Infinity Investment Partners
- Details: Infinity Investment Partners is an investment firm that focuses on long-term value creation. It has shown continued support for Atom Bank.
- Investment Focus Areas: Diverse investment opportunities, technology, financial services.
- Notable Investments: Atom Bank.
- Capability and Innovation Fund
- Details: The Capability and Innovation Fund is designed to support the development of financial services in the UK. It has provided grants to Atom Bank to foster innovation.
- Investment Focus Areas: Financial services, innovation, technology.
- Notable Investments: Atom Bank.
- British Business Bank Investments
- Details: British Business Bank Investments is a commercial arm of the British Business Bank. It aims to increase the supply of credit to small and medium-sized enterprises (SMEs).
- Investment Focus Areas: SMEs, financial services, lending.
- Notable Investments: Atom Bank.
What's Next for Atom Bank?
Atom Bank stands at the cusp of significant growth opportunities. With over £100 million in new equity capital, the bank aims to accelerate lending activities and expand its balance sheet. The potential for an IPO looms large, offering a substantial liquidity event that could further fuel its ambitions. The digital bank's customer base has doubled, and savings deposits have surged, indicating a robust market demand for its services.
However, the path forward is not without challenges. High interest rates and cautious investor sentiment could impact valuations and fundraising efforts. Additionally, maintaining growth momentum while managing costs will be crucial. Despite these hurdles, Atom Bank's vision to revolutionize banking remains steadfast, supported by a strong foundation and strategic investments.
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