Xinja Bank will receive A$433 million over 24 months, with initial investment of A$160 million
Xinja Bank, which is 100% digital and built for mobile, was granted a full banking licence in September 2019. It launched the first app and a prepaid card before launching transaction accounts and a saving account called Stash, which in less than eight weeks attracted around A$400 million in deposits.
World Investments Chairman Sheikh Majid Al Nuaimi said: “We are very happy to announce our involvement in Xinja Bank and help it reach even more Australians.”
World Investments is based in Dubai in the United Arab Emirates. It is an experienced investor in the banking industry around the world. It has significant equity holdings in banks across Europe, the Middle East, and now Australia.
World Investments CEO H.E. Zayed bin Rashid Al Qubaisi said: “We believe Xinja Bank is at the cutting edge of next generation banking in Australia. Its technology, commitment to customers and ethical banking philosophy made it an obvious investment choice for us.”
Xinja’s Eric Wilson said: “We are very happy to welcome World Investments as investors in Xinja Bank. WI personifies ‘smart money’. These are investors who bring deep skills and knowledge in banking to help us grow and be successful.”
First Penny Investments helped Xinja Bank secure the investment over two years of discussions; WI’s Zayed bin Rashid and Xinja’s Eric Wilson expressed their gratitude to First Penny Investments’ Executive Directors Michael Gale and Yaser Mansour.
Xinja Bank launched in May 2017 and now has more than 45,000 accounts and more than $450 million in deposits. “It is like no other Australian bank. It uses the latest technology; there are no bricks and mortar branches, and no costly old-style IT systems to maintain and patch,” Mr Wilson said.
“Xinja Bank keeps costs low so that we can offer our customers the best saving rates, and soon, better lending rates,” Mr Wilson said.
“We know that this is a very difficult time for Australia and the world,” Mr Wilson said. “And considering the health crisis we are all facing, this is not a time to celebrate.
“I believe Xinja’s mission to help Australians make more of their money is going to be even more important in the coming year. We are only a small part of the economy, but we are committed to continuing to deliver the best in banking outcomes for our customers.”