Starling Bank has raised £130.5m from existing investors as part of plans to build a “war chest” for acquisitions.
The fundraise was at a pre-money valuation of £2.5bn, with Goldman Sachs, Fidelity Management and Research Company, Qatar Investment Authority, Harold McPike and RPMI Railpen all participating in the round.
The bank said that the funding would be used to “continue our growth” and “build a war chest” for acquisitions. A Starling Bank spokesperson said that it was looking at a “number of potential targets”.
The spokesperson said: “We are pursuing a targeted merger and acquisition strategy focusing on selected lending originators; that may include mortgage lenders.”
The bank now has a surplus capital of nearly £400m.
Last year, the bank acquired Fleet Mortgages in a £50m transaction, making it the sole funder of the lender’s future originations.
Fleet Mortgages in turn would be able to access Starling’s deposit customer base via the deal.
It marked Starling’s entrance into the mortgage market, and at the time said it was part of its plans to grow its lending through mergers and acquisitions and forward-flow arrangements, where it will purchase loans originated by other providers.
The bank was also reported to be interested in acquiring Kensington Mortgages’ platform earlier this year, along with Barclays, M&G and Pimco.
Anna is currently the deputy editor for Mortgage Solutions and editor for Specialist Lending Solutions. She has worked as a journalist since 2019, having secured her Gold Standard NCTJ diploma from News Associates in a fast-track six-month course.
She started her career as a report at specialist publication The Insurance Insider covering a wide range of areas before joining Mortgage Solutions and Specialist Lending Solutions in 2021.
In her role, she helps put together and structure the news agenda for the day and writes up press releases, reports, interviews, analyses and exclusives across both titles. She also commissions blogs for Specialist Lending Solutions and hosts online masterclasses and in-person events across the business.
She has been shortlisted for three journalism awards, which include BIBA Journalist and Media Awards Scoop of Year Award in 2020, Headline Money Mortgage Journalist of the Year Award (B2B) in 2022 and 2023.
Prior to being a journalist, Anna worked in ecommerce across Snow + Rock, Cycle Surgery and Runners Need websites, and before that worked at specialist financial PR firm Rostrum.
In her spare time, Anna enjoys reading, seeing live music, and cooking for friends and family. When she gets a chance, she also enjoys hiking, skiing and indoor rock climbing.