Korea Investment Partners Co., a venture capital under Korea Investment Holdings, is teaming up with British counterparts to invest in a U.K. fintech startup to capitalize on the booming cyber banking market in U.K.
According to the investment banking industry Sunday, Korea Investment Partners is creating a 12 billion won (£8.05 million) fund with three venture capital firms in the U.K. to invest in London-based internet bank Monese.
Founded in 2013, Monese provides mobile-only and instant-open current account services at one-fifth of the fees charged by the traditional brick-and-mortar banks.
With the Monese app, customers from all over Europe can open a U.K. current account within minutes without having to worry about the usual credit and residency checks.
Transactions reached 100 million euros (£122.89 million) a year after the launch of full-fledged service in September 2015. Monthly transaction of Monese averaged 1 million. It quickly built credentials with its excellent technology in big data applications and security reliability. It received 1.1 million euros (£0.94 million) funding from the European Commission for research and innovation.
The investment likely will lead up to strategic partnership with Kakao Bank, Korea’s first Internet-only bank where Korea Investment Holdings is the largest shareholder with a 54 per cent stake.