UK’s Atom Raises £83m To Develop New Products, Boost Growth

UK’s first app-based bank has managed to raise £83 million. The overall capital raise of the bank is £219 million.

Atom, the U.K.’s first app-based bank, has raised £83 million as it looks ahead to the release of new products and increased growth.

According to The Financial Times, the bank’s total capital raise has now reached £219 million. This latest round was backed by major shareholders, including Spanish bank BBVA, fund manager Neil Woodford and Toscafund. BBVA remains Atom’s main strategic investor, with a 29.5 percent stake.

“We are very satisfied with the confidence that our main shareholders are placing in us by participating in this capital increase. We will keep growing, rolling out new products and developments of our app and offering a whole new way of banking on our mission to change banking permanently for the better,” Atom Bank founder and Chairman Anthony Thomson said in a press release. “The activity in the U.K. market will continue to gather heat in 2017, and we are confident we have a firm foundation to keep making headway.”

Atom Bank secured its banking license in 2015 and officially launched in April 2016 with two fixed-saver accounts and a loan offering for SMEs. It recently launched its first mobile mortgage product and plans to release additional products and developments to the app throughout 2017.

This news comes after last month’s announcement that Atom had dethroned First Direct as U.K.’s most recommended bank. In addition, Atom Bank recently signed a deal with record producer and singer Will.i.am to act as a consultant and board advisor to the company in exchange for shares.