Acorns raises $105M Series E, enters content deal with CNBC
Acorns, a mobile app-based savings and investment platform, has raised $105 million in Series E funding, led by NBC Universal, Comcast Ventures and others, that values the company at $860 million, according to a company release.
Additional investors include TPG, DST, BlackRock, Bain Capital Ventures and Michael Dell’s MSD Capital. NBC Universal, which is now the biggest single investor in the platform, will get a seat on the company board of directors filled by Mark Hoffman, chairman of CNBC.
The funding will be used to grow the business and expand product offerings. The company has also signed a strategic agreement with CNBC whereby the financial business network will provide content for the mobile platform designed to boost financial literacy.
"We have always been guided by our mission to look after the financial best interests of the up-and-coming," Acorns CEO Noah Kerner said in the announcement. "After four years, we can attest to the positive impacts of access and empowerment because every day we see our customers taking control of their financial lives,"
Acorn offers several financial products, including Acorn Spends, a checking account with a debit card that saves automatically, and Acorn Later, an IRA product that lets customers instantly sign up for an account. Acorns later currently has 370,000 customers.
The company has $1.2 billion in assets under management and has grown from 1.8 million customers in 2017 to 4.5 million this year. The bank has a partnership with Lincoln Savings Bank, which is FDIC insured, according to a spokesperson.