In a bid to edge closer to a UK banking licence, Revolut has reportedly agreed a new deal with SoftBank.
According to a report by The Financial Times, the move would look to adapt the fintech’s ownership structure as it looks to provide a clear path to a banking licence in the UK.
It is widely touted that licensing in its domestic market can bolster the bank’s plans for global expansion as it looks to grow into new regions, specifically into Asia and North America.
Earlier in the year, the firm was dealt a significant blow in its plans to establish itself as a traditional bank, having withdrawn its licence application on the belief the Bank of England would reject the proposal.
A UK banking licence has been depicted as being a crucial asset for Revolut in order for it to be able to remain and outperform its competitors. The licence would enable the fintech to benefit from traditional bank capabilities such as regulated-protected deposits and mortgages, and become a challenger bank to the UK’s big four.
The FT reported that there were elongated negotiations between SoftBank and Revolut – with the fintech seeking to secure benefits off the back of being a key stakeholder in the original rise of Revolut.
Having embarked on a period of growth, the latest steps of collaboration with SoftBank sees the firm end a period of stalling as it looks to continue to expand its offering and grow into new regions.