Kroo, a London-based digital lender, aims to raise up to £70 million in a Series C funding round to enhance transparency in its product offerings, expand its customer base, and challenge the traditional banking profit model.
Facts
- Kroo is preparing for a Series C funding round to raise £55-70 million.
- The digital lender obtained a UK banking license in June 2022, allowing it to offer current accounts, personal loans, and overdraft services.
- Kroo has seen substantial growth in the past nine months, indicating demand for improved banking services.
- The company targets family offices, institutional investors, venture capitalists, and private equity in the UK, US, and Europe for funding.
- Only 22% of participants in Kroo’s research described their banks as transparent, highlighting a lack of trust in traditional banking.
- Kroo plans to offer a ‘tracker’ rate set at 0.9% below the Bank of England’s base rate, providing customers with greater transparency on interest rates.
- Kroo’s product update, set to launch on October 15, aims to challenge the traditional profit extraction model by sharing success with customers.
