Confirmed: UK challenger bank Monzo raises £19.5M with one more £2.5M in crowdfunding planned

Monzo, one of a number of so-named “challenger” banks in the U.K. aiming to re-invent the current account, has disclosed details of its new funding round.

Confirming most of the details from our report earlier this week, the startup has raised £19.5 million from U.S.-primarily based Thrive Capital, London’s Passion Capital, and Orange Digital Ventures, the venture arm of telco Orange. They are investing £13 million, £5 million, and £1.five million, respectively.

The London-based organization is also planning to raise an extra £2.5 million via yet another equity crowdfunding campaign on Crowdcube. The combined round pegs Monzo at a pre-funds valuation of £65 million.

Given how speedily Monzo reached its earlier £1 million crowdfunding raise — which spectacularly closed in 96 seconds — it shouldn’t have any problem putting this new offering. In fact, the startup is creating distinct plans to deal with the anticipated demand:

Monzo will host a pre-registration period from February 28 – March 14 when any of its consumers can express their interest in investing. The total quantity pledged will be displayed in real-time on Monzo’s web site, followed by a ballot to randomly choose the men and women who’ll be capable to authorise their investments from March 14.

The new combined funding, which will bring total raised to £35 million, will be utilised by Monzo as it readies for a full bank launch later this year. As it exists today, Monzo’s more than one hundred,000 users get access to a pre-paid MasterCard and accompanying iOS and Android apps. It provides the ability to do issues like track your spending in true time, view geolocation-marked transactions on a map, view spending by category and get a graphical timeline of your general expenditure.

Once it has launched a fully-fledged existing account, Monzo says it will initially make cash by supplying “transparent overdrafts with no hidden fees or charges,” but plans to diversify away from conventional banking company models in the longer term. “The company will aim to give its consumers one particular-click access to a broad range of financial merchandise from third parties as part of a move towards ‘banking as a marketplace’,” it says.

Meanwhile, as we noted when TechCrunch broke this story on Monday, Monzo is not the 1st European fintech to receive backing from New York-headquartered Thrive Capital. The VC firm, founded by Josh Kushner, lately led a €30 million Series C round in German fintech Raisin, which gives pan-European savings accounts.

Nevertheless, it does leave the door open for Monzo to launch in the U.S. sometime in the future. And despite the fact that this isn’t a concrete plan or likely to come about any time quickly, co-founder and CEO Tom Blomfield has made no secret of his ambition to bring Monzo across the pond at some point, one thing he re-iterated in a very brief get in touch with last evening. He has previously spent some time living in New York, which is really how he very first came into make contact with with the folk at Thrive Capital.

Listen to TechCrunch’s recent interview with Monzo co-founder Tom Blomfield


Confirmed: Magic Leap acquires 3D division of Dacuda in Zurich

Magic Leap, the augmented reality startup that has raised $ 1.4 billion in funding but has however to release a solution, has produced an acquisition to expand its perform in computer vision and deep learning, and to build out its operations into Europe.

The business has acquired the 3D division of Dacuda, a laptop vision startup based out of Zurich. One particular of Dacuda’s focuses had been developing algorithms for consumer-grade cameras (and not just cameras, but any device with a camera function) to capture 2D and 3D imaging in real-time , “making 3D content material as effortless as taking a video.”

Dacuda has confirmed the acquisition with a brief announcement on its website. It notes that the complete 3D team has moved to Magic Leap and that Dacuda’s founder, Alexander Ilic, is now leading Magic Leap Switzerland.

“Dacuda successfully sold its 3D division to mixed reality leader Magic Leap. The complete Dacuda 3D team joins Magic Leap to kind its very first European presence. The workplace in Zurich permits Magic Leap to further extend its leadership part in personal computer vision and deep learning technologies. Magic Leap Switzerland is led by Dacuda founder Alexander Ilic.

Under the lead of Peter Weigand and Michael Born, Dacuda refocuses its activities on its productive productivity options with major customers such as Sunrise, Crealogix, Unisys, and SITA.”

As you can see, no detail about what the two might be operating on. But when the acquisition was first rumored final week — Dacuda posted a note on its blog about promoting its 3D division, and then numerous Dacuda personnel updated their LinkedIn profiles as Magic Leap workers — Tom’s Hardware speculated that it could signal Magic Leap employing technology developed by Dacuda to enable space-scale, six degrees of freedom tracking (essentially to enhance its image capturing sensors in 3D environments).

This is Magic Leap’s first leap into Europe, but even more substantially, it is becoming produced by way of a country that has a robust reputation for pc vision research and improvement.

There are quite a few startups and academics working in Zurich and other Swiss centers on AR and VR technology, specifically the areas of computer vision and deep learning, and so a presence there will let Magic Leap plug into that scene more directly.

(The ecosystem there is attracting other huge-name M&ampA. Faceshift, a motion capture startup acquired by Apple in 2015, was also founded in Zurich.)

Adding more talent, and creating out far more connections into the pc vision ecosystem, could be coming at the proper time for Magic Leap. As you might currently know, the organization has hit some stumbles in current instances with unflattering leaks of its goods, executive departures, reports that the tech and hardware may not be up to scratch, and the lingering query of whether anything can ever meet the hyped-up expectations that a $ 4.five billion valuation confers on a startup, at least in the short term.

Financial terms of the deal are not being disclosed. Dacuda has been around since 2009 and according to CrunchBase had raised an undisclosed round, plus $ 542,000 in crowdfunding on Kickstarter for one particular of its productivity solutions, the PocketScan handheld scanner, back in 2014 (we covered it here).

What is also not clear is how this acquisition will impact current organization development offers that Dacuda’s 3D division currently had in spot.

For instance, in October the firm had linked up with MindMaze, another virtual/augmented reality startup out of Switzerland, to create a platform they were calling “MMI”, “the world’s first multisensory computing platform for mobile-primarily based, immersive and social virtual reality applications,” MindMaze noted. MindMaze stated it planned to “deploy the technology for customers globally to address a void left by Google’s DayDream View for positional tracking and multiplayer interactions.” We have contacted Magic Leap for comment and will update this post if and when we find out far more.

This is Magic Leap’s second disclosed acquisition. The initial, in 2016, was of Israel-primarily based cybersecurity startup Northbit.

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