UK-based neobanking platform Kroo has raised £26m in its Series B funding round to support its growth and development.
The neobank said that the round was joined by 60% of its existing investors.
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Kroo will use the proceeds for expansion, hiring and contributing to social causes.
Currently, the neobank offers a prepaid debit card and an app allowing users to create groups, track expenses, split and pay bills.
Gradually, Kroo plans to shut down the prepaid card programme and allow its users to transition to the new current account.
The neobank, which launched a tree planting referral scheme last year, has pledged to donate part of its profits to social causes.
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By GlobalDataKroo CEO Andrea De Gottardo said: “The money raised will go a long way in supporting the launch to market of our current account, the development of our lending proposition and the scaling up of the company. We are very excited to offer to the UK customers a new digital bank that will have a positive impact on their lives.”
In August 2021, Kroo raised £17.7m in a Series A funding round, which was led by Rudy Karson, who is a tech entrepreneur and founder of Karlani Capital.
The neobank has raised over £56m in equity funding since its inception.
Shortly after the Series A round, Kroo secured a restricted banking licence from the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA).
