Zopa plans to launch its first current account products and incorporate more AI into its operations by 2025. The company has also started to form partnerships to provide financial services for other companies, including Octopus Energy and John Lewis. The lead investor in the latest funding round is A.P. Moller Holding, with other investors being existing backers.
Key takeaways:
- Zopa, a U.K. neobank, has raised €80 million ($85 million) in equity funding and is valued at over $1 billion. The company is profitable and has been growing its customer base at a rate of around 35% annually.
- Despite previous plans for an IPO, Zopa's CEO Jaidev Janardana has stated that going public is not a priority for the company at the moment. They will wait for the markets to revive and be more positive.
- Zopa has been in operation since 2005 and started out as a pioneer in the peer-to-peer lending space. In 2020, it started to move out of that space, picking up a banking license and launching saving and loan products.
- Plans for 2025 include Zopa launching its first current account products, and bringing more AI into the company. The company has also started to branch out in partnerships to power financial services for other companies, including Octopus Energy and John Lewis.