Total amount raised
$1.1 Billion
Latest funding date
2/1/2025
Location
Varo Bank has successfully raised funds over 10 rounds, with the latest being a Series G round. The digital bank is backed by 28 investors, including notable names like Warburg Pincus and Uni-Ventures.
Keep reading to explore the intricacies of Varo Bank's fundraising journey and the investors backing this innovative platform.
What Is Varo Bank?
Varo Bank is a digital bank based in San Francisco, California, offering innovative and premium banking services. The company operates in the Apps, Banking, Financial Services, and FinTech industries.
Founded with a mission to provide inclusive financial services, Varo Bank has grown to employ between 501 and 1000 people. The bank is known for its customer-friendly policies, including no hidden fees, high-yield savings accounts, and credit-building tools.
How Much Funding Has Varo Bank Raised?
- Seed Round
- Amount Raised: Not publicly disclosed
- Date: April 2015
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the company's operations and develop its initial product offerings.
- Series A
- Amount Raised: USD 28,400,000
- Date: May 2016
- Lead Investors: Warburg Pincus
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the team and enhance the technology platform.
- Debt Financing
- Amount Raised: USD 5,000,000
- Date: January 2017
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support operational expenses and ensure liquidity.
- Series B
- Amount Raised: USD 45,000,000
- Date: January 2018
- Lead Investors: The Rise Fund, Warburg Pincus
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale the business and increase market penetration.
- Series C
- Amount Raised: USD 100,000,000
- Date: July 2019
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further develop the product and expand customer acquisition efforts.
- Series D
- Amount Raised: USD 241,000,000
- Date: June 2020
- Lead Investors: Gallatin Point Capital, Jeffrey S. Skoll, Paul Hewson (Bono), The Rise Fund
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance the digital banking platform and expand service offerings.
- Corporate Round
- Amount Raised: USD 63,000,000
- Date: February 2021
- Lead Investors: Russell Westbrook Enterprises
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To form strategic partnerships and enhance brand visibility.
- Series E
- Amount Raised: USD 510,000,000
- Date: September 2021
- Lead Investors: Lone Pine Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To accelerate growth and expand into new markets.
- Series Unknown
- Amount Raised: USD 50,000,000
- Date: February 2023
- Lead Investors: Warburg Pincus
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support ongoing operations and product development.
- Series G
- Amount Raised: USD 28,982,355
- Date: February 2025
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To continue scaling the business and enhance technological capabilities.
Total Amount Raised: USD 1,130,382,355. Current Valuation: Not publicly disclosed.
Key Investors
- Warburg Pincus
- Details: Warburg Pincus is a global private equity firm with a focus on growth investing. The firm has been a significant backer of Varo Bank, participating in multiple funding rounds.
- Investment Focus Areas: Financial services, healthcare, technology.
- Notable Investments: Airbnb, CrowdStrike, Ant Financial.
- The Rise Fund
- Details: The Rise Fund is a global impact investment fund managed by TPG. It aims to achieve measurable social and environmental outcomes alongside competitive financial returns.
- Investment Focus Areas: Education, healthcare, financial services.
- Notable Investments: EverFi, DreamBox Learning, Dodla Dairy.
- Lone Pine Capital
- Details: Lone Pine Capital is a hedge fund based in Greenwich, Connecticut. It is known for its concentrated investments in high-growth companies.
- Investment Focus Areas: Technology, consumer goods, healthcare.
- Notable Investments: Amazon, Shopify, Peloton.
- Gallatin Point Capital
- Details: Gallatin Point Capital is an investment firm that focuses on financial services and related sectors. The firm aims to create value through strategic investments and partnerships.
- Investment Focus Areas: Financial services, insurance, real estate.
- Notable Investments: Not publicly disclosed.
- Russell Westbrook Enterprises
- Details: Russell Westbrook Enterprises is the investment arm of NBA star Russell Westbrook. The firm focuses on strategic investments that align with Westbrook's values and vision.
- Investment Focus Areas: Technology, consumer goods, media.
- Notable Investments: Not publicly disclosed.
What's Next for Varo Bank?
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