Barney Hussey-Yeo is Cleo’s founder and CEO, has led its pivot to US markets
(Picture: Media image)Cleo, the financial assistance app, has raised $80 million in fresh capital to fund its push into US markets in a move that could take it nearer to a stock market listing.
Famed for its animated pizza-shaped cursor, the British start-up seeks to encourage members of Generation Z to buck the cost-of-living crisis by developing good habits with their money. It offers engaging and personalised support and guidance via an AI-powered chatbot.
Cleo has focused on the US market since launching stateside in 2019, three years after its inception. It says it has “millions of users” and that almost half of its new customers convert to one of its paid subscriptions.
The Series C funding round, led by the Belgian investment company Sofina, will help it “double down” in the US, where it will make “a significant increase in employee headcount”. The fundraising was also supported by existing investors, including EQT & Balderton Capital.
Series C funding is usually one of the later rounds of venture capital raised by a start-up, at a stage when they have become established businesses and can attract larger investors. It can also be the last capital raised by a relatively new company before a stock market listing or a buy-out.
“The vast majority of Gen Zers in the US are living from paycheque to paycheque… particularly as the price of everything continues to increase,” said Barnaby Hussey-Yeo, Cleo’s founder and CEO.
“We’re here to provide personalised financial support and guidance to these young people, giving them a helping hand as they seek to better manage their finances, build their credit profile and weather the storm caused by the cost-of-living crisis.”
