New challenger bank secures further £28m ahead of banking licence
A new UK bank has announced that it has secured £28m of investment ahead of receiving its provisional banking licence this year.
GBB, a challenger bank based in Middlesbrough, has secured additional funding from the Teesside Pension Fund (TPF), which has previously invested £20m in the bank.
The TPF has agreed to invest up to an additional £28m when GBB obtains its provisional banking licence, which is expected later this year.
Sue Hayes, CEO of GBB, said: “Accessing finance still remains a challenge for many developers and it’s my ambition to make that a much easier, more straightforward process.
“We’re delighted the Teesside Pension Fund shares our vision and its fantastic ongoing support will help us through the regulatory journey of becoming a bank.”
David Coupe, chair of the Teesside Pension Fund, said: “We are proud to support GBB in their mission to support SME property developers in the regions and in turn help address the chronic shortage of housing.
“It’s been a long-term aspiration of the fund to invest in an attractive and well-controlled local opportunity and we’re pleased to have identified a robust, digital start-up such as GBB as a strong way to maximise returns for the Pension Fund’s beneficiaries.”
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