UK challenger Atom Bank has raised £50m in a fundraising round with the new capital expected to fund further growth and enable the bank to invest more in tech.
The funding was raised with investments from established banking firm BBVA along with Toscafund, Woodford Patient Capital Trust and funds advised by Perscitus LLP.
Described as “the UK’s first bank built exclusively for mobile,” Atom features solutions such as mobile-first savings accounts, mortgages and small business loans aimed at those who are tech enabled.
Bridget Rosewell, chairman at Atom commented: “This latest raise recognises the enormous progress that we have made on our journey to disrupt UK banking, and is a clear signal of our investors support for our future plans.”
The challenger bank states its total lending (for homeowners and small businesses) has grown by 76% in the past year to an overall £2.4bn.
Atom claims to be processing up to £20m of business and £10m of residential mortgage applications each week.
It is also in the process of “re-platforming” its offerings into the cloud and expect to launch new products through Thought Machine’s smart contract banking technology, following a deal secured late last year.
Mark Mullen, CEO, Atom said: “What’s important to customers is good products, good service and good value so that’s where we’ve spent the majority of our time and energy.
“We’re growing our team here in the North East and will add 50 new roles this year to help us expand the range of products and services we offer, starting with Instant Access savings in the autumn. More than ever we are convinced of the importance of Atom’s role to drive positive change in UK banking.”
