British digital financial services group Revolut said it had obtained a full French banking licence, a long-awaited step that cements its standing among established retail lenders in Europe.
“The French banking licence strengthens the group’s position as one of Europe’s largest retail banks,” Revolut said in a statement.
The French bank will operate alongside Revolut’s Lithuanian subsidiary as dual hubs within the European Union, under the supervision of local regulators and the European Central Bank.
Founded in 2015, the company has around 30 million customers in western Europe and has been a leader in rolling out financial services via smartphones, initially focusing on allowing clients to easily exchange currencies and make transfers.
“France has become a leading financial hub, supported by a dynamic financial ecosystem and a robust regulatory framework,” Nik Storonsky, the firm’s co-founder and CEO, said Monday.
“It is the ideal platform to accelerate Revolut’s next phase of growth – bringing us one step closer to our ambition of becoming one of Europe’s largest and most trusted banks,” he said.
The company has said it plans to invest $1.2 billion in France and is set to open its western Europe headquarters in Paris next year.
The British company, whose growth has exploded in recent years, secured a long-awaited banking licence in its home market in March.
Its value jumped to $115 billion in July following a secondary share sale to private investors, a source close to the deal said.
Storonsky said in April that an initial public offering of its shares was at least two years away.
The fintech is targeting 100 million customers in 100 countries, and is also seeking to secure a US banking licence.
Revolut’s rapid growth has also drawn criticism in recent years regarding its ability to comply with financial regulations, particularly those aimed at combating fraud and money laundering.
