Neobank and smart money management app Douugh has begun trading on the Australian Stock Exchange (ASX) after raising $6 million in Series A funding.
The company has listed via a reverse takeover of Australian telco ZipTel. In January ZipTel suspended trading on ASX ahead of a March acquisition of Douugh before seeking readmission to the exchange under the new name.
Douugh offers a subscription-based financial wellness platform, which helps customers with money management, paying off debt, saving more each month, and building up their wealth by using a 'smart' bank account and Mastercard debit card.
The app has been in beta with US customers since the middle of last year thanks to a partnership with Choice Bank. The firm has also inked a deal with Regional Australia Bank ahead of an Oz launch.
Douugh CEO Andy Taylor claims that working with established lenders enables his firm to build the next generation of neobank, that "can offer a government-insured bank account and debit card just like a first-generation neobank, without the high cost structure, clunky business model and risk profile of becoming a licensed bank".
Taylor adds: "We will use our IPO funds to scale up our US customer base and continue to invest heavily in R&D to improve our AI-driven banking platform."