Allica Bank just crossed the billion dollar line.
The London based digital lender has raised $155 million in a Series D round, pushing its valuation to nearly $1.2 billion and officially minting it as Europe’s newest fintech unicorn.
Founded in 2011, Allica focuses on a specific slice of the market: established small and medium sized businesses across the UK. More than 30,000 SMBs now bank with it. In 2024, it topped Sifted’s 250 ranking of Europe’s fastest growing startups by revenue growth, a signal that this was not a quiet climb. It was a sprint.
The latest round drew backing from Ventura Capital, GLG, Sona AM and existing investors including TCV and Blue Owl. Most of the funding came through ordinary shares, with a portion structured as additional Tier 1 capital, the kind of loss absorbing cushion banks use to keep regulators comfortable.
The fresh capital will fuel lending growth and deeper investment in Allica’s tech stack, particularly AI driven tools in the lending process. The bank is also preparing to expand beyond the UK for the first time, exporting its platform into new markets.
CEO Richard Davies calls it a vote of confidence. The bigger picture is this: in a crowded neobank landscape, Allica is betting that focusing on established SMBs, not flashy consumer apps, is the sharper edge.
Investors agree.
