United Kingdom-based credit card startup Yonder raised £62.5 million in a Series A funding round. The company will use £12.5 million to expand operations, while the other £50 million goes toward servicing the credit lines to support customer growth.
Launched in 2022, the company is geared toward young users and those who want to redeem points they earn through purchases for experiences like dinners out or event tickets in the London area where the card is marketed.
The round was led by capital firms Northzone and RTP Global, with participation from angel and existing investors. The new investment leaves Yonder with a post-money valuation of £70 million.
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In a blog post on the company’s website, CEO and co-founder Tim Chong called the new funding a huge milestone.
He also wrote of offering new experiences through the company’s changing roster of partners.
“We’re exploring adding in new types of Experiences like theater tickets, well-being and short stays in cabins and hotels,” Chong wrote.
Chong said the additional capital would help Yonder grow its staff and expand beyond London into another city in the U.K. before the end of the year.
“It means we ship more product updates, bring on even better rewards and deliver on our mission faster,” Chong wrote. “One of our operating principles at Yonder has been to deliver the most amount of value with the smallest team possible. … As we grow, we’re going to need more hands on deck to continue to change the credit industry for the better. So we’re hiring in marketing, operations, engineering and product right now.”
Travel bookings made with the card are covered automatically by comprehensive travel insurance, including trip cancellation, car hire excess, medical expenses and more, the company said, adding, "Every month we'll pick new experiences and stick them in the app for you to discover."
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