86 400 is an aspiring bank that is currently backed and fully funded by Cuscal Limited, but is looking for new shareholders.
Cuscal Limited, an independent payments provider, will continue to support neobanks as it begins its capital raising plan.
Robert Bell, chief executive of 86 400, said Cuscal had helped the bank invest heavily in its technology over the past two years.
“Over the past two years – and with the support of Cuscal – we have invested heavily in creating proprietary technology that will change the way retail banking is delivered in Australia,” he said.
The capital raise is in line with the bank’s business plan, which requires more than $250 million in capital over the first three years of operations to fund its growing balance sheet.
Mr Bell said 86,400 was currently in a pilot phase and would launch its transaction and savings account later this year.
“Our app and customer experience engine (CXE) are both built and being tested and we plan to launch them with a transaction and savings account shortly after receiving our banking license. But this is just the beginning for 86,400 people,” he said.
Anthony Thomson, chairman of 86 400, said the bank’s business model has always been to deliver better value to consumers using smarter technology and streamlined processes.
“Our mission is to help Australians take control of their money, putting them at the very center of what we do – every second, every minute, every day. All eighty-six four hundred.
Mr Thomson said they looked forward to its full ADI being granted by APRA and introducing new shareholders to incorporate the company.
“We look forward to introducing new like-minded shareholders to the business towards the end of this year, as we bring the simplest version of banking to Australian customers,” he said.
