Moneyhub Secures £35M from Legal and General, Lloyds Banking Group

Moneyhub, an Open Finance, Open Data, and payments platform, announced that it has secured “an initial £35m in funding from high profile backers Legal & General and Lloyds Banking Group, with an additional £5m debt facility provided by Shawbrook. Legal & General’s investment is partially subject to regulatory approval.”

Lead Investors Legal & General and Lloyds Banking Group will “take minority stakes in the business.”

Both Lead Investors will also each “look to enhance their commercial propositions with Moneyhub’s services, using its Open Data technology to support strategic goals.”

The investment will “help to accelerate the ongoing development of Moneyhub’s solutions, including those around pensions and wealth, payments, distribution, affordability, and Data-as-a-Service.”

While Moneyhub is already present in several countries, the new funding “will expedite the internationalisation of its highly scalable and border agnostic technology.”

The Lead Investor funding forms part of “a larger raise which has been sought to support the continued acceleration of Moneyhub’s growth across its spectrum of Open Banking, Open Finance, and Open Data solutions.”

Moneyhub has been “growing across its chosen fields through understanding and delivering for its clients, and this funding will allow it to deliver further transformational expansion of its proposition, extend its capabilities and improve its global client reach.”

This is Moneyhub’s largest funding round “to date and follows a fundraise in early 2021, led by Sir Peter Wood, founder of the technology-based insurance disruptors Direct Line Group, and Esure, and founder of investment vehicle SPWOne.”

Moneyhub works “with over 100 clients helping them to unlock opportunities by creating personalised products and services aimed at putting customers at the heart of the business in order to boost revenue, drive innovation and reduce costs.”

Moneyhub currently “has over 30 high-profile enterprise clients within financial services, retail, and telecoms including Aon, KPMG, Mercer, Nationwide Building Society, Samsung, and Vodafone reaching 150 million end-users across the UK and worldwide.”

Moneyhub works “with each client on an individual basis to ensure the technology explains and accelerates their unique capabilities and strategic aims.” Moneyhub is “well-placed to support financial services clients meet and benefit from upcoming Consumer Duty legislation, as well as supporting customers through the cost of living crisis.”

Samantha Seaton, CEO of Moneyhub comments:

“We are delighted to be working with Legal & General and Lloyds Banking Group and their recognition of the fabulous opportunity that Moneyhub presents to not only them but the clients we currently serve, as well as the wider market. Their new investment helps us signal a step change in the way the financial services industry thinks about Open Data and the possibilities it presents. Understanding and utilising customer transaction data for the benefit of the customer’s financial wellbeing not only helps businesses fulfil their consumer duty regulatory obligations, but also empowers them to create further opportunities.”

Wian Pieterse, Fintech MD, at Legal & General comments:

“At Legal & General we believe data is key to helping customers make informed decisions and ultimately get better financial outcomes. Moneyhub is a leading provider in open data and so was an obvious choice for us to invest in to accelerate our commercial goals and support the growth of our Workplace savings business. Beyond the numbers, Moneyhub’s purpose, to improve financial wellbeing, fits well with our own purpose of building a better society to improve the lives of customers whilst creating value for shareholders. We see significant potential for a meaningful long-term relationship with Sam and her team and we are very excited to work with Moneyhub as they continue to grow.”

This deal was “supported by Corporate Finance Advisors DC Advisory and Lawyers CMS.”

For more details on this update, check here.

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