Moneyhub Financial Technology (t/a Moneyhub) secures £40m from investors including legal and general – UK Tech Investment News

Moneyhub, the market-leading open finance, open data and payments platform, today announces that it has secured £35m seed funding from high-profile Legal & General and Lloyds Banking Group, along with an additional £5m loan provided by Shawbrook. Legal & General’s investments are partially subject to regulatory approval.

Lead Investors Legal & General and Lloyds Banking Group will take minority stakes in the business. Both leading investors will also look to enhance their commercial proposition with Moneyhub services, using Open Data technology to support strategic objectives.

The investment will help accelerate the ongoing development of Moneyhub’s solutions, including pensions and wealth, payments, distribution, accessibility and data as a service. Although Moneyhub is already present in several countries, the new funding will accelerate the internationalization of its highly scalable and borderless technology.

The funding from the lead investor is part of a larger funding increase that has been aimed at supporting the continued acceleration of Moneyhub’s growth across the full range of Open Banking, Open Finance and Open Data solutions. Moneyhub is growing rapidly in selected industries through understanding and delivering services to its customers, and this funding will enable it to further transform its offering, expand its capabilities and improve its global customer reach.

This is Moneyhub’s largest funding round to date, following an early 2021 fundraising led by Sir Peter Wood, founder of technology insurer Direct Line Group and Esure, and founder of investment firm SPWOne.

Moneyhub works with more than 100 clients, helping them unlock opportunities by creating personalized products and services aimed at putting customers at the center of the business to increase revenue, drive innovation and reduce costs. Moneyhub currently has over 30 high-profile corporate clients in financial services, retail and telecommunications including Aon, KPMG, Mercer, Nationwide Building Society, Samsung and Vodafone, reaching 150 million end users in the UK and worldwide. Moneyhub works with each client on an individual basis to ensure that technology explains and accelerates their unique capabilities and strategic objectives. Moneyhub is well-positioned to support financial services customers to meet and benefit from the upcoming consumer duty legislation and to support customers during the cost of living crisis.

Samantha Seaton, CEO of Moneyhub comments:

“We are delighted to be working with Legal & General and Lloyds Banking Group and their recognition of the great opportunity that Moneyhub presents not only to them, but also to the clients we currently serve and to the wider market. Their new investment helps us signal a fundamental shift in the way the financial services industry thinks about open data and the opportunities it presents. Understanding and leveraging customer transaction data to benefit customers’ financial well-being not only helps businesses meet their consumer regulatory obligations, but also enables them to create new opportunities.

“We have been at the forefront of the data revolution and are now the established and trusted choice for companies looking to make the most of it.

“Moneyhub has achieved significant growth throughout its history and this latest round of funding will allow us to continue on this trajectory. I am very proud of the Moneyhub team for their efforts in helping the business get to this point. I am delighted to be on this journey with the support of Legal & General and Lloyds Banking Group, as well as the many talented people in the Moneyhub team.”

Vian Peters, MD Fintech, Legal & General Commentary:

“At Legal & General, we believe that data is key to helping clients make informed decisions and ultimately achieve better financial outcomes. Moneyhub is a leading provider of open data, so it was an obvious choice for us to invest in to accelerate our commercial goals and support the growth of our Workplace Savings business. Beyond the numbers, Moneyhub’s goal of improving financial well-being aligns well with our own goal of building a better society to improve the lives of customers while creating shareholder value. We see significant potential for a meaningful long-term relationship with Sam and her team, and we’re excited to be working with Moneyhub as they continue to grow.”

Kirsty Rutter, Director of Fintech Investments at Lloyds Banking Group, comments:

“This investment in market-leading open finance and open data represents an important step for us at Lloyds Banking Group. This is the first financial technology investment since announcing our new strategy earlier this year, which focuses on technology investments and partnerships that use data-driven insights to create value for customers.

We are focused on identifying and exploring financial technology investment opportunities, and we are excited to partner with Moneyhub to use open data and API technologies to help consumers improve their financial well-being, make our products more relevant to customers, and our channels easier and more personalized for use.”

This transaction was supported by Corporate Finance Advisors DC Advisory and Lawyers CMS.

About Moneyhub

Moneyhub is a data, intelligence and payments company that develops ISO 27001 certified software for Open Banking, Open Finance and Open Data applications. The FCA-regulated Open Data platform enables companies to quickly and easily transform data into personalized digital experiences and initiate payments. Its APIs and fully customizable platform provide data aggregation, insights, push notifications and payment systems. As a result, customers have the consent-based data and analytics they need to create super-personalized offers, products and services. More than 100 organisations, from finance to media to retail, rely on Moneyhub’s award-winning technology.

For more information, please visit www.moneyhub.com.

About legal and general

Founded in 1836, Legal & General is one of the UK’s leading financial services groups and a major global investor with total assets under management of £1.4 trillion*, a third of which are international. L&G also provides powerful asset creation capabilities. Together they underpin our leading pension and protection solutions: we are a leading international player in pension risk transfer, life insurance in the UK and US, and occupational pensions and retirement income in the UK. Through inclusive capitalism, we aim to build a better society by investing in long-term assets that benefit everyone. * as of December 31, 2021

About Legal and General Retail

Effective January 1, 2022, Legal & General Retail and Legal & General Insurance (our two retail businesses) have been combined into one division, Legal & General Retail, so that we can better serve the needs of our retail customers.

Legal & General Retail helps protect the lives and futures of our customers; the division delivers on the savings, protection and retirement needs of our approximately 12 million retail policyholders and workplace members. In 2021, we wrote £957m of annuity premiums and issued £848m of lifetime and pension-only mortgages. Our workplace pensions platform serves 4.4 million members, while in the UK we have paid out a total of £1,134 million in insurance claims.

About Lloyds Banking Group

Lloyds Banking Group is the largest provider of retail and commercial financial services in the UK, with around 26 million customers and a presence in almost every community. Our core business includes retail and commercial banking, general insurance and long-term savings under well-known brands including Lloyds Bank, Halifax, Bank of Scotland and Scottish Widows.

Our aim is to help Britain prosper. For over 320 years, we have been serving Britain through our products and services in every community and millions of families. Our success is linked to Britain’s prosperity and we are committed to helping Britain prosper by working as a responsible, sustainable and inclusive group.