Core banking platforms are proving they can raise money on commercial traction alone, not just growth-stage promise, and 10x Banking’s new £40 million round makes the case. The London-based cloud core banking provider, founded by former Barclays chief executive Antony Jenkins, announced on August 4 that it has taken a £40 million equity investment from AshGrove Capital, a software-focused investment firm making its first bet on the company.
What makes this raise different from the venture rounds that funded 10x Banking’s earlier years is the metrics behind it. The company says it now supports more than 10 million live customer accounts, grew annual recurring revenue more than 30% over the past 12 months, and reached EBITDA profitability in that same period, all while onboarding more than 10 new financial institution clients including Westpac, Chase UK, West Brom Building Society, and Old Mutual. Founder and chief executive Antony Jenkins framed the raise around banks still running on infrastructure “not built for real-time, digital banking,” a gap 10x has spent a decade selling itself as the fix for.
The money is earmarked for global expansion and building out sales and go-to-market capacity rather than product development, which matters for how the finance leader should read this deal. A vendor raising growth capital after hitting profitability, not before, is a different risk profile than one burning cash to prove a model, and it strengthens 10x’s negotiating position in the crowded core-modernization market where legacy vendors like Temenos and newer entrants are all competing for the same bank replatforming budgets. It follows a similar pattern to the vendor consolidation reshaping who controls bank technology stacks more broadly, evident in UniCredit’s recent decision to shift its own core technology backbone between vendors, a reminder that core banking contracts are long-term bets banks are now willing to revisit.
Source: 10x Banking
