Atom Bank to raise £50m after major shareholder BBVA decides against full takeover
Atom Bank, an online-only lender, is preparing to launch a £50m fundraising bid after its main shareholder abandoned a full takeover of the company.
The bank has started speaking to investors over the fundraise in recent weeks, Sky News reported today.
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It comes after Spanish bank BBVA, which owns almost 40 per cent of Atom, decided not to exercise its option to buy the remainder of the company.
Sky cited sources saying BBVA had been put off the deal because it was not getting enough clarity on Brexit and its impact on the UK economy.
Atom is being advised by Citi about a year after it raised £150m from investors including BBVA.
It is one of a series of challenger banks, including Monzo and Revolut, which are trying to lure customers away from the established players. It has taken in over £1.3bn in customer deposits since launching in 2016.
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A spokesperson for Atom Bank told City PM: “We have never commented on capital raises or the intentions of any of our shareholders nor comment on rumours or speculation in the market.”
BBVA did not respond to request for comment.