Mobile banking startup Monese has announced its decision to split the business into separate consumer-facing and corporate entities, alongside new funding achievements.
The Monese brand will operate as the B2C business catering to immigrants and expats, while XYB, the B2B Platform as a Service (PaaS) technology arm that emerged from Monese, will become an independent entity.
Both companies have received undisclosed funding to stabilize their operations, and a search for a new CEO for XYB is currently underway.
In January 2022, Monese raised £42.3 million in its final Series C funding round, bolstered by a significant $35 million strategic investment from HSBC in September 2022.
This restructuring follows a reported £30.5 million loss for Monese in 2022, with the firm having raised concerns about its ability to continue as a going concern without additional funding.
CEO Norris Koppel stated, “This separation will unleash the growth and potential of Monese and XYB, and will see both businesses well-funded. I am excited to continue the strong collaboration between the two companies, whilst the separation ensures that both businesses will have the focus they need to thrive.”