Funding round
Varo Series B
Varo, which works in digital banking services in San Francisco, raised $45M in a Series B round announced on 18 Jan 2018, led by TPG and Warburg Pincus. 3 firms took part, 1 of them already investors. It is Varo's first venture round on record.
$45M
Amount raised
Not disclosed
Post-money valuation
3
Investors
2 leads
Valuation
What this round says about the price
Varo did not disclose a valuation in this round. It is Varo's first venture round on record, 3 years after it was founded in 2015. It is 4.2% of the $1.08B Varo has raised in the venture rounds on record. Varo raised again 18 months later: a Series C round of $100M in Jul 2019. Its next priced round, a Growth in Sep 2021, valued it at $2.50B.
Varo's funding rounds
Varo has 6 venture rounds on record. This one is highlighted.
- Series B this round 18 Jan 2018, led by TPG and Warburg Pincus $45M
- Series C 16 Jul 2019, led by Warburg Pincus, TPG and Gopher Asset Management $100M
- Series D 3 Jun 2020, led by Gallatin Point Capital and TPG $241M
- Growth 18 Feb 2021, led by Russell Westbrook Enterprises $63M
- Growth 9 Sep 2021, led by Lone Pine Capital $510M$2.50B post-money
- Series G 2 Feb 2026, led by Warburg Pincus and Coliseum Capital Management, LLC $124M
Investors
Who put money in
TPG and Warburg Pincus led the round with 1 other firm. Warburg Pincus had backed Varo before.
Lead investors
- TPG backs 114 venture-backed companies new investor
- Warburg Pincus backs 76 venture-backed companies existing investor
Also in the round
- Manatt Venture Fund new investor
Use of proceeds
What the money is for
According to the announcement, the money goes to product development, sales and marketing, scaling operations and working capital.
- Product development
- Sales and marketing
- Scaling operations
- Working capital
Comparable rounds
How it compares
The closest in time, other companies' Series B rounds in Banks & ATMs:
| Company | Announced | Amount | Post-money | Led by |
|---|---|---|---|---|
| WeLab Banks & ATMs | 8 Nov 2017 | $220M | not disclosed | Alibaba Entrepreneurs Fund and International Finance Corporation |
| Solaris Banks & ATMs | 8 Mar 2018 | $70M | not disclosed | not named |
| Revolut Banks & ATMs | 11 Jul 2017 | $66M | $300M | Index Ventures |
| Banks & ATMs | 6 Sep 2018 | $60M | not disclosed | Kinnevik |
Sources
Where this comes from
Reported by 5 sources.
Questions
Frequently asked
How much did Varo raise in its Series B round?
Varo raised $45M in its Series B round, announced in Jan 2018.
Who led Varo's Series B round?
TPG and Warburg Pincus led it, with Manatt Venture Fund.
What was Varo's valuation at the Series B round?
It was not disclosed.
Did Varo raise again after this round?
Yes: a Series C round in Jul 2019 of $100M.