D360 Bank Eyes SAR 1.5B Capital Raise to Fuel Expansion

D360 Bank is seeking to raise nearly SAR 1.5 billion through a capital increase to finance its expansion plans, Asharq TV reported on Sunday, citing unnamed sources. The digital bank obtained shareholder approval for the capital hike on Thursday, the sources said, adding that the bank's latest valuation stood at $1.2 billion (SAR 4.5 billion) before the planned raise.

The capital increase has already drawn interest from a number of local and international investors, the sources told Asharq. D360 is owned by the Public Investment Fund and Derayah Financial, with Derayah holding a 20.4% stake. The bank began commercial operations in Saudi Arabia in December 2024.

The Saudi central bank has been licensing new digital banks as part of the Vision 2030 push to modernize the financial sector and reduce dependence on cash. D360, which operates as a fully digital retail and corporate bank, is one of several new entrants backed by state-linked investors. The PIF also holds stakes in Saudi National Bank and other financial institutions.

The capital increase, if completed at the reported valuation, would give D360 a post-raise equity base of more than SAR 5 billion, funding branchless expansion and technology infrastructure buildout. The bank has not disclosed a timeline for the fundraise or the number of new shares to be issued.