German digital bank N26 has raised $160m in the Series C Funding round co-led by Allianz X and Chinese internet value-added services provider Tencent Holdings.

With this funding, N26 has now raised a total of $215m.

The new funding, stated to be one of the largest equity financing rounds in the fintech industry in Germany, will be utilised by N26’s to support  its global growth strategy and expand to the US and UK markets by this year.

The digital bank also aims to support product development for the existing markets with the new funding.

N26 CEO and co-founder Valentin Stalf said: “We are very pleased to have Allianz X and Tencent leading our Series C.

“Not only are they powerhouses in their respective fields of financial and internet services, but they also understand the power of intelligent technology and design to disrupt industries.”

Launched in January 2015, N26 has processed more than €9bn in transaction volume to date and acquired more than 850,000 customers.

It aims to have more than five million customers by the end of 2020.

N26 also intends to introduce the usage of artificial intelligence to provide personalised and smarter banking experience to its customers.

Commenting on the funding, Allianz Group chief digital officer Solmaz Altin said: “N26 is a clear frontrunner in mobile banking.

“N26’s banking platform is modernizing traditional business models of financial services, ultimately providing a better customer experience.”