Marshmallow, a London-based motor insurer for the recently emigrated to the UK, announced today that it has raised €79.4 million worth of funding, this comes three years after their Series B, in which time, it has almost doubled its valuation to just over €1.7 billion.
The round saw participation from Portage, BlackRock and Columbia Lake Partners. The investment, a mixture of equity and debt, will be used to further grow the business’ product offering and support plans for international expansion.
Oliver Kent-Braham, Co-CEO and Co-founder of Marshmallow, said: “Our ambition is to become a one-stop-financial-shop for newcomers so they feel as though it’s easy to move to, and live in, a different country. We’ve already supported over one million people in the UK with their insurance needs, but we’re only just scratching the surface. There are still major financial services barriers that make it harder for newcomers to settle and take part in everyday life. This funding gives us the capital to solve these problems and deliver against our mission.”
Marshmallow is a FinTech company on a mission to make living in a new country easier and more affordable. The business was founded in 2017 by twins Alexander and Oliver Kent-Braham, and software engineer David Goaté to help people who move to the UK with their car insurance.
Today, Marshmallow has provided cover for over one million customers, most of them UK newcomers. The company reached unicorn status in 2021 and reprotedly has a turnover run rate of over €439 million. With 700 employees across London and Budapest, Marshmallow is focused on backing people who move country with a range of tech-first financial products.
Marshmellow believes that people who move to the UK have to unfairly face higher prices compared to those born in the country. Marshmallow has been focused on providing better value to these customers and will continue to leverage its proprietary technology and customer data to do so.
Following this fundraise, the business will expand its proposition to support newcomers across a wider range of unmet financial needs, looking to become the one-stop financial services provider for people moving to the UK.
Marshmallow will also seek to expand its proposition internationally, with the business planning to offer financial products to people who have relocated to other countries, extending beyond serving just those who have moved to the UK.
Devon Kirk, General Partner & Co-Head, Portage Capital Solutions, commented: “Marshmallow is a clear leader in innovating to solve important financial challenges for consumers. We are confident in the business’ ability to continue developing solutions for a fairer financial ecosystem, and we are excited to support this strong team as it enters its next stage of growth.”
