D.E. Shaw is in talks to lead a funding round of at least £300 million for Monzo, a UK digital bank. The potential round could value Monzo at about £7 billion pre-money. Monzo offers current accounts, savings products, lending, and business banking.
Funding details
The round could total between £300 million and £500 million. Terms are not final, and other investors are also in talks with the bank. That valuation would be a step up from Monzo's last £4.5 billion valuation in an October 2024 employee share sale.
Monzo's growth
Monzo now serves about 15 million to 16 million customers. For the year ended March 2026, it reported £1.7 billion in revenue and £172.6 million in adjusted pretax profit. Customer deposits reached £25.7 billion.
Fresh capital and independence
The proposed investment would provide fresh capital through a conventional fundraising rather than a sale. D.E. Shaw manages about $125 billion and has backed technology companies, including Anthropic. The capital would support product development and international growth while allowing Monzo to remain independent.
The discussions remain at an early stage. Neither Monzo nor D.E. Shaw has confirmed an agreement. The final valuation, round size, and other investor participation remain subject to negotiation.
Read more: Sky News