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Plum raises £16m Series B after rapid growth and approaches profitability
24 July 2024
London, UK. Smart money app Plum has raised over £16m in its Series B round.
It has secured £13.4m in funding from institutional investors, including a second tranche of investment from strategic partner Eurobank. New anchor investor iGrow Venture Capital has joined the round, alongside previous investors including Venture Friends and Ventura Capital.
The company has also raised an additional £2.7m via crowdfunding in Crowdcube’s most popular campaign of the year, with more than 5,500 investors from across the UK and EU participating. This brings the total to over £16m raised.
The investment was secured following a period of strong performance for the business. The company has seen exceptional growth since launching in 2017, with more than 2 million customers now using the app to seamlessly set money aside in 10 markets across Europe.
Assets under management (AUM) for the company recently surpassed £1bn, having tripled in 12 months. This increase was in part driven by the success of Plum’s highly competitive Cash ISA, which launched in March and has opened up greater organic UK acquisition at low-to-zero cost.
Revenue for the company has almost doubled year-on-year, supported by robust subscription streams with average revenue per customer having grown by 40%*. With the surge in AUM also contributing to increased revenue, Plum is now on track to reach profitability in 2025.
In the meantime, Plum will continue to flesh out its product offering in the UK following the success of its Cash ISA, aiming to provide the most complete app for savers and investors on the market.
Plum has ambitious plans for the rest of Europe too, having recently launched ETFs for EU customers and partnered up with Eurobank to accelerate its growth in the region. The app’s goal is to reach hundreds of thousands of customers in Greece by the end of 2027. As part of the strategic cooperation of Plum with Eurobank, the latter will introduce Plum to its customers.
Victor Trokoudes, Plum founder and CEO, comments: “It has been an exceptional 12 months for Plum, and this new round of funding is testament to the hard work of the team and the value we’re providing for customers across Europe. The need for a smart app that helps people grow their money for life has never been stronger, and we’re already delivering this to millions of people.”
“But we don’t rest – we’re focused on what’s next and how to get even more people maximising their money with Plum. Following the success of Cash ISA in the UK and ETFs in Europe, we’re well-placed to reach profitability which is a major and important milestone for us. And we have game-changing products in the pipeline that will take our app to the next level for customers. It’s a really exciting time.”
Anastasios Economou, Founding Partner of iGrow Venture Capital added: “iGrow is always looking for transformative ideas such as Plum’s. Making savings solutions accessible to all, not just high-net-worth individuals, is a democratisation and revolution in the industry. We are excited to see the expansion across Europe and Greece. We have full confidence in the Plum team's capacity to keep expanding.”
*Comparing March 2023 to March 2024
Plum is the ultimate smart money app, with a mission to maximise wealth for all. Founded in 2016 by Victor Trokoudes (ex-Wise), Plum automates parts of personal finance that people find difficult or don’t have time for, with effortless saving, empowered spending and accessible investing. Plum has helped over 2 million customers across Europe do more with their money. Plum was named Best Personal Finance App at the British Bank Awards 2023 and was named one of the fastest-growing companies in the UK by the Deloitte Technology Fast 50 2023. Plum is headquartered in London, UK, and has offices in Athens, Greece and Nicosia, Cyprus.
iGrow Venture Capital's primary focus is on investing in innovative technologies and startups from pre-seed to Series C stage, with a strong emphasis on Fintech, Healthcare/Medtech, Information Technology, and AI. HDBI, funded by the Recovery and Resilience Facility through the Project "InnovateNow," acts as the anchor investor for the Fund.