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Challenger bank OakNorth reaches unicorn status

Monday 16 October 2017 09:53 CET | News

OakNorth, a UK-based neobank, has reached unicorn status after a GBP 154 million investment from The Clermont Group, Toscafund and Coltrane.

The Clermont Group, Toscafund and Coltrane have purchased a 16% stake in the challenger bank. OakNorth said that the funds will be used to expand its lending services by an additional GBP1.5 billion. 

After the last investment round, the bank is valued at GPB 934 million (approximately USD 1.3 billion), thus reaching “unicorn” status. 

The challenger bank focuses on lending to high-growth businesses and propriety developers. Since 2015, OakNorth has grown its loan book to over GBP 800 million thanks in part to its ACORN data and technology platform. The platform uses machine learning to extract and analyse relevant data from millions of data points on prospective borrowers. 

The ACORN platform will now be made available for licencing by lenders in other geographies, allowing them to develop their own origination and underwriting capabilities.


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Keywords: OakNorth, Unicorn, fintech, challenger bank, neobank, mobile banking, investment
Categories: Banking & Fintech
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Countries: World
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Banking & Fintech