London-based fintech firm Tide has been valued at $1.5bn after securing a new $120m (£88.8m) funding round.
The business and finance management platform was founded in 2015. Tide offers SMEs business accounts and banking services as well as a suite of administrative management tools.
The company, which operates in its home market as well as Germany and India, will use the new funds to continue its international expansion plans. Tide already serves 800,000 customers in foreign markets.
According to chief executive Oliver Prill, the funds will also accelerate the company’s adoption of new technologies, notably in AI.
“This investment will also fuel product innovation and means we can broaden and deepen our offering, helping our members everywhere save time and money,” Prill said.
“Tide is already adopting AI at pace, and the investment will allow us to accelerate this. TPG’s support reinforces both our existing strategy and will help deliver our long-term growth potential.”
The investment was led by TPG through its Rise Funds, multi-sector investment vehicles that work with high-growth businesses.
The round was supported by existing Tide investor the Apax Digital Funds.
“Financial inclusion remains a global challenge for the millions of small businesses that are vital to economic growth and resilience,” said Yemi Lalude, a partner at TPG.
“Tide has built an industry-leading platform that empowers sole traders, micro-enterprises, and small firms across the UK, India, Germany with tailored products.
“We are excited to support Tide’s mission to democratise access to financial and administrative services for SMEs, helping them thrive from inception through to growth.”