Kroo Announces Series C Funding Round for Expansion and Growth
After opening its accounts to customers less than a year ago and reaching nearly £750m in deposits, digital bank Kroo has pre-announced its Series C funding round. The bank is looking to raise £55m – £70m to enhance and develop its product offer, grow its customer base, and build its quality loan book.
Kroo’s unique selling propositions (USPs) have been fairness and environmental focus. The bank pays high interest rates on its customers’ entire account deposits and plants two trees for each new customer. Kroo CEO Andrea De Gottardo stated, ‘Our growth in the last nine months shows there is an appetite for better banking, and this latest investment round will enable us to support more customers and increase the products and services we offer.’
The funding round will target venture capitalists, family offices, institutional investors, and private equity in the UK, US, and Europe.
Additionally, Kroo announced a new ‘tracker’ rate of interest for its customers, set 0.9 per cent lower than the Bank of England rate. This change aims to simplify the interest rate proposition and provide customers with clarity on when and how their rate will change.