In a Series D funding round, Aussie Challenger Bank Judo has raised $280 million in capital. The capital raise comes 7 months after the bank raised $230 million in Series C funding. After the Series D funding, Judo Bank’s valuation is at $1.6 million, 60% up as compared to its May numbers. The neobank did not reveal the name() of its investors.
The bank’s confirmation on receiving the funding comes a few days after its competitor Xinja announced that it is wrapping up its operations in Australia and handing over its banking license.
More on Judo Bank raising $280 million
Co-CEO and Co-Founder David Hornery said the latest Series D funding round attracted various new investors with over 60% from new major institutional investors. Simultaneously, more than 70% of the largest current shareholders of the neobank chose to resubscribe and increase their stake, he added. In 2020 alone, they have raised more than half a billion dollars in funding across 2 rounds in such challenging market conditions in living memory, says Hornery.
The funding in all the rounds came from few of the best-known and widely respected institutional and private investors in the world. Till date, Judo Bank has managed to bag a total of more than $1 billion in funding in its 4 funding rounds.
Neobank Judo is up and running even though it is currently a loss-bearing enterprise, posting a $50.8 loss in the financial year 2020 on revenues of $28.2 million.
SEE ALSO: Neobank Xinja closes shop amidst COVID-19; returns banking license
Judo Bank – an Aussie Neobank
Judo Bank is an Australia-based Challenger Bank that focuses on small and medium enterprises. It is a neobank that provides SMEs access to the funding they require along with the services they deserve.
A neobank is a digital bank that doesn’t have any branches. It doesn’t really have a physical presence but is entirely operated online. Neobanks are fintech companies that offer mobile-first and digital financial solutions, payment options, money transfer facilities, money lending facilities and much more. Judo offers a range of business loans, equipment loans, home loans and other lines of credit to SMEs.
The neobank has taken the Banking and Finance Oath that asserts the ethical foundation of the Banking and Finance industry beyond just compliance and regulations. The Oath broadens discussion and expectations to include integrity, honest, trust and ethics in a bank’s operations.
Judo Bank’s Chief Information Security Officer in Glen Appleby. Chris Bayliss is the bank’s Chief Operations Officer and Chief Financial Officer. Sonia Mohanan is the neobank’s Head of PMO.
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