Cleo Raises $44M Series B Led by EQT Ventures
On the Back of 400 Percent Revenue Growth in Last Year, Cleo Accelerates Expansion in U.S.
London, San Francisco – Dec. 10, 2020 – Cleo, the financial assistant designed for Gen-Z, has raised $44M in Series B funding to continue fighting for the world’s financial health. The Series B is led by EQT Ventures with participation from existing investors Balderton Capital, LocalGlobe and SBI. They join an existing roster of world class angel investors including Taavet Hinrikus, Matt Robinson, Errol Damelin, Niklas Zennstrom, Alex Chesterman and Ian Hogarth.
“We’re building Cleo to become the financial advisor that a billion people need. One that talks to you like a real person, able to build trust and relationships like a bank never could,” said Cleo CEO, Barney Hussey-Yeo. “The work we do at Cleo has never been more urgent. This crisis has been devastating to the generation we serve. They’re facing true financial hardship with no one to turn to. I’m delighted that EQT Ventures decided to join us on our mission to fight for the world’s financial health and looking forward to putting this capital to work.”
Cleo found early success in 2016 as a digital assistant making money fun and approachable for a young generation. The company has since evolved into a trusted advisor for a generation by making meaningful impact on user’s financial health. Cleo offers insights about a user’s financial life and the data needed to make strong financial decisions from day one. Now trusted by 4 million Gen Z and Millennial users, 96 percent of which are US based, Cleo has reached increasingly strong unit economics and over 400 percent revenue growth in the last year.
As Cleo continues to drive towards profitably, this latest round gives them the resources to double down on their mission. Cleo is incredibly well capitalised and the latest round gives the team the resources to explore new ways to improve credit, build personalized spending plans to stabilize financial safety nets and stop the paycheck to paycheck cycle. Cleo will further the US expansion as it continues to make leadership hires in the Bay Area.
“Barney and Cleo are truly disrupting consumer finance,” said Tom Mendoza, Deal Partner at EQT Ventures. “They’ve taken a radically different approach to money management and created an AI financial advisor with a personality that proactively delivers personalised insights that help customers spend less and save more. In the current climate, Cleo is now more relevant than ever. Getting answers to financial questions is particularly important for the younger generation, many of whom are trying to navigate the economic consequences of coronavirus — from graduates entering a dwindling job market to young professionals struggling to pay rent. As Cleo is a horizontal platform sitting on top of banks, the company will be able to scale globally faster than most of its competitors. The EQT Ventures team is excited to be joining Cleo’s team on the next stage of the company’s journey!”