Varo Bank raised another $123.9 million in capital.
The digtal bank, which reported a $91.7 million net loss last year, said in a press release that the funding round was led by existing investor Warburg Pincus along with new investor Coliseum Capital Management. Existing backers, including Northview, also contributed.
Alice Milligan, a former chief marketing officer at Morgan Stanley, and Kevin Watters, former division chief executive officer at JPMorgan Chase, joined Varo’s board.
“This combination of new capital, Coliseum’s partnership, and experienced banking leaders joining our board is propelling Varo into its next phase of growth,” Varo Bank CEO Gavin Michael said in the release. “We remain focused on operating with discipline and delivering meaningful impact for our customers.”