By Gavin Gibbon
World Investments already has significant equity holdings in banks across Europe and the Middle East
Dubai-based World Investments is set to invest $258 million in Australian neobank Xinja Bank over the next two years.
World Investments, an experienced investor in the banking industry around the world, will plough in $95m immediately, with the remaining sum available to be drawn down in multiple tranches as required over the next 24 months to help the bank’s growth plans.
The company already has significant equity holdings in banks across Europe and the Middle East.
World Investments CEO, Zayed bin Rashid Al Qubaisi, said: “We believe Xinja Bank is at the cutting edge of next generation banking in Australia. Its technology, commitment to customers and ethical banking philosophy made it an obvious investment choice for us.”
Launched in May 2017, Xinja Bank now has more than 45,000 accounts and more than $450m in deposits, and plans to launch personal and home loans later this year.
Xinja Bank founder and chief executive, Eric Wilson, said: “We are very happy to welcome World Investments as investors in Xinja Bank. WI (World Investments) personifies ‘smart money’. These are investors who bring deep skills and knowledge in banking to help us grow and be successful.”
First Penny Investments helped Xinja Bank secure the investment after two years of discussions.
One hundred percent digital and built for mobile, Xinja Bank was granted a full banking licence in September 2019. It launched the first app and a prepaid card before launching transaction accounts and a saving account called Stash, which in less than eight weeks attracted around $238m in deposits.