A new sustainable farm and food-focused digital bank is set to open in the US after raising $24 million in Special Deposit Shares.
The first new mutual bank to receive FDIC approval in 50 years, Walden Mutual Bank will open its virtual doors to anyone interested in supporting a more sustainable and equitable local food ecosystem.
The Concord, New Hampshire-based lender used Special Deposit Shares to raise $24 million from over 230 community investors, allowing it to be mutually owned while reaching modern capital requirements for new banks.
The bank has built up a lending pipeline of over $50 million and in the coming weeks will open its virtual doors to all, using depositors funds to issue loans to local, sustainable food businesses, farms, and other ventures across the region’s food ecosystem.
Charley Cummings, president and CEO, Walden Mutual, says: "We view the mutual structure as ripe for reinvention in the modern era. When many are clamoring for companies to deliver holistic value to all stakeholders, mutually governed organizations are poised to deliver."
Finextra recently announced its fifth Sustainable Finance Live conference and hackathon, scheduled to take place on 29 November. For more information and to register for this event, please visit the event page here.