14


NEWS


BBVA increases stake in Atom with a further investment of £85.4m


B


BVA has given a huge vote of confidence in both the business strategy and management team at Atom, which is rated as the number one provider by net promoter score in the UK for its


savings products.


The decision will see BBVA invest a further £85.4 million ($121 million) into the North of England-based business, increasing its ownership in the challenger bank to about 39% – subject to regulatory and shareholder approval. This brings the total invested so far, including this latest tranche, to £167 million.


Atom is also securing capital from other shareholders, bringing the total capital raised this time to £149 million. Commenting on the investment, BBVA CEO Carlos Torres Vila, said: “Atom is progressing extremely well and we continue to support the company. We are fully aligned with the vision of banking that Atom is pursuing, and the disruption it is already bringing to the UK financial services sector.”


The new capital being invested will allow Atom to continue its impressive growth, and support the uptake of new clients and build core capabilities. Atom will also be looking to roll out new products and services in the future. It has already demonstrated its ability to execute on its strategy, having secured a balance sheet of more than £1.3 billion in deposits and has lent more than £1.2 billion through residential mortgages and business loans in less than a year.


It boasts the fastest account opening time in the UK, with just five minutes from downloading the app to account opening – provided the right requirements are in place. Its low operating costs, mobile-only model, high customer satisfaction and disruptive business model have seen the company lead the disruption that digital banking is bringing to the UK financial services sector. In the future, the bank will be looking at how the positive impact of PSD2 and Open Banking can


Atom key stats since its creation in April 2014


• Atom bank has taken more than £1.3 billion of savings deposits and lent more than £1.2 billion to small businesses and homeowners.


• It has raised £400 million of equity capital through the support of private and institutional investors, including BBVA, Toscafund Asset Management and Woodford Investment Management.


• It is ranked 14th in LinkedIn’s ‘Top 25 Startups’. • It has been voted the UK’s most recommended bank.


Atom HQ: latest investment will further its impressive growth help it support its customers further in their financial decision making.


Bridget Rosewell, Atom’s chair said: “Atom is an ambitious and vibrant business and it is the unique fit of our shareholders, our team and our partners that enables us to offer a genuine alternative for UK savers and borrowers. We look forward to working with our stakeholders on our path to rolling out new products and developments and offering new ways of banking on our mission to change banking permanently for the better”.


Atom’s CEO, Mark Mullen said: “We are very proud of what we have achieved in the Atom journey to date and we are excited about our plans for the future. This further significant injection of capital secures the bank’s place as a disruptive force in the mainstream of UK banking. We will continue to invest in growth, in our technology and in our products as we continue to push ahead with the support of our investors.”


• It has built a highly motivated and experienced team of more than 310 permanent employees.


• It has been ranked 8th in KPMG’s ‘Global 2017 Fintech 100’ listing and 1st in Tech World’s Digital Challengers list.


• It is rated 9/10 on Trustpilot and 97% said they would recommend the bank on Reevoo.


• It has established a global network of partners and suppliers. • It offers 1, 2, 3 and 5-year market-leading Fixed Saver accounts.


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