Australian startup Judo Bank raises $147m in new funding round

Sydney, Australia. Photo: Unsplash

Australia’s Judo Bank, that provides loans to small and medium-sized enterprises (SME), has raised A$230 million ($147 million) in a new funding round from existing investors including Bain CapitalCredit, Myer Family Investments, Abu Dhabi Capital Group, according to the company’s announcement.

Its other shareholders including SPF Investment Management, OPTrust, and Tikehau Capital also participated in this round.

The funding, that follows a A$400 million ($247 million) Series B investment in 2019, brings the company’s total capital raised to A$750 million over three rounds to date.

The current round of funding pegs the valuation of Judo Bank at about $1 billion, thereby making it the latest “unicorn” in the country.

“The support we’ve received for our third round, at an increased valuation to our second round capital raise last year, underscores the confidence and commitment our existing investors have in Judo, particularly at a time of extreme volatility in global markets, that has impacted all bank valuations,” Judo Bank co-founder and co-CEO, David Hornery said.

Founded in 2016, Judo Bank was set up to make it easier for Australian businesses to get the funding they need. It has been granted a full banking license as an authorised deposit-taking institution (ADI) that has allowed it to launch full deposit-taking capabilities.

The neobank claims to be serving 650 customers, and has made reportedly made $1.6 billion in loans and taken $1.5 billion of deposits.

During the COVID-19 outbreak, Judo secured A$500 million from the federal government through the Australian business securitisation fund and structured finance support fund in April.

Statistics from the Australian Small Business and Family Enterprise Ombudsman show that SMEs create around 7 million jobs, contributing to 67 per cent of total employment and 57 per cent of Australia’s GDP, which makes the sector the backbone of the Australian economy.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.