The raise will fund Allica’s expansion plans outside the UK.
London’s Allica Bank has joined the European unicorn league with a $155m Series D raise that values the company at $1.2bn. New investors Ventura Capital, GLG and Sona AM, and existing investors TCV and Blue Owl, took part in the round.
Allica’s digital banking services are geared toward small, and medium enterprises (SMEs), currently offering services to more than 30,000 SMEs across the UK. The 2011-founded company has been named the fastest growing technology company in the UK by Deloitte in both 2023 and 2024.
According to Allica, SMEs are an underserved customer base in the fintech market.
The digital bank said the capital will enable continued investment into AI to develop newer lending mechanisms for SMEs. The infusion will also fund the company’s expansion plans outside the UK.
“We’re building the category defining digital bank for established SMBs, and are excited to be taking our proprietary platform into new markets,” said Allica CEO Richard Davies.
“This Series D investment is a major vote of confidence in Allica’s strategy and performance.”
Allica joins the fintech unicorn league alongside companies such as the UK’s Cleo and Denmark’s Flatpay. It was one of the new firms invited to participate in a new UK scale-up unit designed to support fast-growing, innovative financial services firms to scale and create high-skilled jobs in the country.
“Allica is a world class business that is executing exceptionally well in a large, underserved market,” said Mo El Husseiny, the managing partner of Ventura Capital.
Earlier this week, Irish fintech Stripe, founded by brothers John and Patrick Collison, announced it had hit a $159bn valuation – up from $106bn a year ago. Bloomberg reported shortly after that Stripe is considering acquiring PayPal, which has been struggling to grow for a few years.
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