LHV UK secures £30m through parent company rights issue to support banking licence application.
Parent company LHV Group raised the capital via an oversubscribed rights issue.
LHV UK provides banking infrastructure and payment services to financial technology companies and institutions across Europe. The company is currently progressing through the application process for a standalone UK banking licence.
LHV UK has secured €35m, approximately £30m, through a rights issue conducted by its parent organisation, LHV Group. The capital injection is intended to adequately capitalise the new UK banking entity as it progresses through the regulatory licensing process.
The parent company rights issue was oversubscribed by 1.75 times, drawing support from both existing backers and new participants. The funds arrive as the banking service provider continues to expand its workforce across London, Leeds, and Tallinn while developing new client products.
LHV UK currently provides payment and banking services to more than 200 fintech clients. The business submitted its formal UK banking licence application in February 2022 and awaits regulatory approval.
From the founder
"The funds raised are a key step in the UK banking licence application process. In tandem with this ongoing process, we continue to scale up LHV UK's operations. We're currently hiring vigorously for our open positions across London, Leeds, and Tallinn and continue to develop new client-facing products."
Erki Kilu
CEO at LHV UK
Use of funds
- 01Grow the team
- 02Continue product development
- 03Scale operations