PomegraTrueLayer has raised $27M, led by Italy's CDP Venture Capital, to scale Pay by Bank payments in Europe. The London company plans to keep hiring in Milan through 2027.
Key Takeaways
- TrueLayer raised $27M led by CDP Venture Capital, announced on 8 October 2026.
- Pay by Bank reaches more than 30 million consumers in 22 countries.
- About 70 of TrueLayer's roughly 280 staff are in Italy; Milan hiring continues through 2027.
Lead
TrueLayer, the London-based open banking payments company, announced a $27M investment on 8 October 2026, led by CDP Venture Capital, the Italian state-backed investor. New and existing backers also took part. The company has not named them, and it has not disclosed a valuation or a formal round label. The money will fund further development of its account-to-account Pay by Bank technology and a new hiring drive, with a focus on Italy.
What Did TrueLayer Announce?
TrueLayer announced a $27M round with CDP Venture Capital as lead investor. The round brings total funding raised to roughly $348.8M, up from $321.8M previously. CDP Venture Capital is owned 70% by CDP Equity and 30% by Invitalia, and manages 15 funds with more than €4.9B in assets.
The company was founded in London in 2016 by two Italians: Francesco Simoneschi, who is CEO, and Luca Martinetti, who is CTO. Earlier backers include Stripe and Tiger Global. Simoneschi framed the deal around geography: "Europe deserves payment infrastructure built in Europe. Having Italy back that belief means a great deal to us."
How Big Is TrueLayer's Pay by Bank Network?
TrueLayer's network serves more than 30 million consumers across 22 countries. The company says it processes about $150B in online pay-by-bank payments each year. In the UK, open banking passed 1 billion payments by June 2026, with more than 40 million payments a month.
Pay by Bank moves money directly between bank accounts and bypasses card networks. Merchants pitch it as a cheaper route than cards, and banks and regulators in Europe have pushed it as an alternative to the dominance of foreign card schemes. TrueLayer competes with Token.io, Volt, Nopan and Banked.
Why Is Italy at the Center of the Round?
Italy matters because the lead investor is Italian, the founders are Italian, and a large share of the engineering team already sits there. Around 70 employees, about a quarter of the 280-strong workforce, work in the country. TrueLayer calls Milan one of its core engineering hubs and says it will keep hiring there through 2027.
The funding adds a state-linked investor with a mandate to back domestic technology capacity. That shifts the round's logic from pure financial return toward strategic positioning. For TrueLayer, a public-sector-backed anchor in Italy can support relationships with banks and merchants in a market where it is still building commercial presence.
What Does the Size of the Round Say?
At $27M, the round is modest by TrueLayer's own history. In October 2024 the company closed a $50M Series E extension at a valuation reported at roughly $700M, below the unicorn status the business once aimed for. A smaller raise with no disclosed valuation suggests this is a strategic top-up, not a price-setting event.
The money follows a run of acquisitions. TrueLayer bought Swedish payments firm Zimpler on 3 March 2026 and Dutch buy-now-pay-later provider in3 on 29 May 2026. Integrating those deals will absorb capital and management time. Fresh funding from a strategic investor eases that load without forcing a new valuation marker.
On the financial side, the last public figures are from 2024: revenue of £20.3M, up from £12.4M in 2023, a rise of about 64%. Profitability has not been disclosed.
What Comes Next for Pay by Bank in Europe?
Competition for merchant checkout share will decide the outcome. Cards remain the default for most online purchases in Europe, and consumer habits shift slowly. Open banking volumes in the UK show that scale is possible once banks, merchants and regulators align.
Italy offers a test of whether that pattern repeats in a large continental market. TrueLayer will need to convert its engineering base in Milan into bank and merchant partnerships. The Zimpler and in3 deals widen its product range into Nordic payments and instalment credit, which may help when it pitches to larger retailers.
Outlook
TrueLayer has secured $27M from a state-backed lead investor to deepen its Italian presence and extend Pay by Bank. The valuation, round stage and full investor list remain undisclosed. The next indicators to watch are Italian merchant and bank launches, the integration of Zimpler and in3, and whether the company publishes updated revenue figures for 2025 and 2026.