FinTech firm Zopa has raised £44m, closing the first stage of its latest fundraising round.
Zopa, which provides access to loans and investments, has so far lent £3.5bn to UK consumers.
The P2P business achieved full year profitability in 2017 for the first time since 2012.
Jaidev Janardana, Zopa’s CEO, said: “We aim to be the best place for money in the UK and we believe that launching our bank is a key next step.
“It allows us to offer a wider choice of products and to help our customers make smarter choices with their money.
“This further injection of capital takes us a step closer to that vision and we are delighted that our investors have supported us on this journey,” he added.
The news of the fundraise come amid reports that Zopa was looking to raise £50m ahead of a stock market flotation, a figure which would value the company at £400m.
So far, Zopa has refrained from commenting on speculation about a possible IPO, but has said the new money will be used to help launch its new digital bank and expand the business.