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Plum raises £16 million in push for profitability

Smart money app Plum has raised £13.4m in funding from institutional investors and an additional £2.7 million from a crowdfunding campaign.

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Plum raises £16 million in push for profitability

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The institutional investors include Greece's Eurobank, which made a €10 million minority equity investment in the firm in December, alongside new anchor investor iGrow Venture Capital and existing backer Venture Friends and Ventura Capital.

The company has also raised an additional £2.7m via crowdfunding in Crowdcube’s most popular campaign of the year, with more than 5,500 investors from across the UK and EU participating. This brings the total to £16m raised in Plum’s Series B round.

The investment was secured as Plum reached more than two million customers in 10 markets across Europe.

Assets under management (AUM) for the company recently surpassed £1bn, having tripled in 12 months. This increase was in part driven by Plum’s recently-launched Cash ISA, which has opened up greater organic UK acquisition at low-to-zero cost.

Revenue for the company has almost doubled year-on-year, supported by robust subscription streams with average revenue per customer having grown by 40%. With the surge in AUM also contributing to increased revenue, Plum says it is now on track to reach profitability in 2025.

Victor Trokoudes, Plum founder and CEO, comments: “Following the success of Cash ISA in the UK and ETFs in Europe, we’re well-placed to reach profitability which is a major and important milestone for us. And we have game-changing products in the pipeline that will take our app to the next level for customers. It’s a really exciting time.”

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