Canadian financial technology company Neo Financial has secured C$360m ($258m) in a Series D funding round, comprising C$110m ($79m) in equity and C$250m ($179.2m) in debt.
The latest round includes investments from Canadian entrepreneurs such as Shopify CEO and founder Tobi Lütke, Slack founder and former CEO Stewart Butterfield, Roblox CEO David Baszucki, and PointClickCare executive chair Mike Wessinger.
Neo Financial’s existing investors, including Valar Ventures, Golden Ventures, Afore Capital, and Thomvest Ventures, also contributed to the funding.
The new capital will support Neo Financial’s continued product development, with a focus on artificial intelligence (AI)-driven insights, automation, and new features tailored for Canadian consumers.
Neo Financial co-founder and CEO Andrew Chau said: “We’re building time and money-saving financial products that will help Canadians for decades to come. Despite being in the lowest period of venture funding that fintech has seen in the last five years, we’ve been able to raise one of the largest fintech funding rounds globally this year.
“This growth capital allows us to continue winning the hearts and minds of Canadians, serving them when they need it the most. Canada continues to lag in productivity and innovation, and our team is on a mission to reverse that trend and make Canada a better place to live.”
Since its founding in 2019, Neo Financial has expanded from a single product to a portfolio of eight offerings, positioning itself as a competitive alternative to Canada’s traditional banks.
Among its offerings, the financial technology company provides premium credit cards, such as the Neo World Mastercard and Neo World Elite Mastercard, which deliver competitive cashback rates with no annual fees.
Neo Mortgage offers competitive, transparent mortgage rates to support Canadians in achieving homeownership while managing their finances effectively.
The company’s portfolio also includes AI Money Insights, a budgeting tool that uses AI to give users a clear breakdown of their spending, helping them to stay on track with financial goals.
High-Interest Savings Accounts (HISAs) allow customers to create up to 10 accounts, each offering market-leading interest rates without promotional restrictions or minimum deposit requirements.
Additionally, the company’s Everyday account provides instant bill payment capabilities, expense tracking, and spending insights.
So far, Neo Financial has raised more than C$650m ($466m) .
