Funding round
Varo Series C
Varo, which works in digital banking services in San Francisco, raised $100M in a Series C round announced on 16 Jul 2019, led by Warburg Pincus, TPG and Gopher Asset Management. 4 firms took part, 1 of them already investors. It is Varo's second venture round on record; the one before was a Series B in Jan 2018.
$100M
Amount raised
Not disclosed
Post-money valuation
4
Investors
3 leads
Valuation
What this round says about the price
Varo did not disclose a valuation in this round. It came 18 months after Varo's Series B. It is 9.2% of the $1.08B Varo has raised in the venture rounds on record. Varo raised again 11 months later: a Series D round of $241M in Jun 2020. 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 18 Jan 2018, led by TPG and Warburg Pincus $45M
- Series C this round 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
Warburg Pincus, TPG and Gopher Asset Management led the round with 1 other firm. Gaingels had backed Varo before.
Lead investors
- Warburg Pincus backs 76 venture-backed companies new investor
- TPG backs 114 venture-backed companies new investor
- Gopher Asset Management new investor
Also in the round
- Gaingels backs 364 venture-backed companies existing investor
Use of proceeds
What the money is for
According to the announcement, the money goes to hiring, product development, geographic expansion, sales and marketing, scaling operations and working capital.
- Hiring
- Product development
- Geographic expansion
- Sales and marketing
- Scaling operations
- Working capital
Comparable rounds
How it compares
The closest in time, other companies' Series C rounds in Banks & ATMs:
| Company | Announced | Amount | Post-money | Led by |
|---|---|---|---|---|
| WeLab Banks & ATMs | 12 Dec 2019 | $156M | not disclosed | Alibaba Entrepreneurs Fund and China Construction Bank International |
| Starling Banks & ATMs | 13 Feb 2019 | $97M | not disclosed | Merian Global Investors and Merian Chrysalis Investment Company Limited |
| Cross River Banks & ATMs | 27 Apr 2020 | $100M | not disclosed | not named |
| Solaris Banks & ATMs | 30 Jun 2020 | $67M | $360M | HV Capital |
Sources
Where this comes from
Reported by 2 sources.
Questions
Frequently asked
How much did Varo raise in its Series C round?
Varo raised $100M in its Series C round, announced in Jul 2019.
Who led Varo's Series C round?
Warburg Pincus, TPG and Gopher Asset Management led it, with Gaingels.
What was Varo's valuation at the Series C round?
It was not disclosed.
Did Varo raise again after this round?
Yes: a Series D round in Jun 2020 of $241M.