UK-based fintech company Tide has successfully closed a funding round, securing over $120 million, which elevates its valuation to an impressive $1.5 billion. This significant investment was spearheaded by TPG's The Rise Funds, with additional participation from existing investor Apax Digital Funds. The funding round also included existing shareholders selling a portion of their stakes to other investors, marking a substantial increase from its 2021 valuation of approximately $650 million, as reported by market intelligence platform Tracxn.

The newly acquired capital is earmarked for accelerating Tide's global expansion initiatives, enhancing its product development capabilities, and strategically investing in agentic artificial intelligence—AI technologies capable of autonomous actions without human intervention. Oliver Prill, Chief Executive of Tide, emphasized the importance of this investment, stating, "Securing this investment from TPG is a major milestone for Tide and a strong endorsement of our growth as the leading global business management platform serving 1.6m members worldwide." As part of this investment, TPG partner Yemi Lalude will be joining Tide’s board of directors, signifying TPG's deep commitment to the fintech's future.

Tide, founded in 2017, distinguishes itself by offering digital-first business accounts coupled with an integrated suite of administrative solutions designed for small and medium enterprises (SMEs). Its comprehensive offerings include invoicing, expense management, accounting services, payment processing, and various credit products, catering to the diverse needs of businesses. The company currently employs more than 2,500 people globally, underscoring its significant operational scale.

India stands out as Tide's fastest-growing market, having launched operations in late 2022 and rapidly accumulating over 800,000 SME clients in the country. Gurjodhpal Singh, CEO of Tide India, highlighted India's crucial role, stating, "This strategic investment marks a pivotal moment for Tide in India. It strengthens our ability to scale rapidly and reinforces India’s role as a key driver of our global growth." Beyond India, Tide maintains a robust presence in its home market, the UK, where it commands a 14% share with nearly 800,000 SME members. Demonstrating its ambitious international strategy, the company expanded into Germany in December and recently commenced operations in France in September of this year.

This latest funding round builds upon previous successful capital raises. In May, Tide secured £100 million in securitisation debt from Fasanara Capital to bolster its short-term cash flow management products in the UK. Prior to that, in July 2021, the company raised $100 million in equity, bringing its total equity fundraise to $180 million from a diverse group of investors including TriplePoint Capital, State Bank of India, Apax Digital Funds, Augmentum Fintech, and Creandum.

Financially, Tide reported a revenue of £177.2 million for the 2023-24 fiscal year, alongside losses of £14.2 million. The company's financial figures for FY25 are currently unavailable. For its latest fundraise, Morgan Stanley served as Tide's exclusive financial advisor and placement agent, while Torch Partners provided advisory services to TPG.