D360 Bank raises SAR 1.5B to become largest Saudi digital bank
What's the deal? D360 BankDealroom has a profile for this one. Try Dealroom →, the Riyadh-based digital bank, has raised SAR 1.5 billion ($400M) in growth equity, lifting its post-money valuation to SAR 6 billion ($1.6B). The round was backed by Saudi Arabia's Public Investment Fund (PIF)Dealroom has a profile for this one. Try Dealroom → and Derayah FinancialDealroom has a profile for this one. Try Dealroom →, one of the bank's existing shareholders. Derayah contributed SAR 100 million to the raise.
The capital increase — approved by the bank's extraordinary general assembly — boosts D360's total capital from SAR 2.1 billion to SAR 2.91 billion, a 38.9% jump. It was executed through the issuance of 72.9 million new ordinary shares at SAR 20.57 per share.
Why now? Saudi Arabia's digital banking sector is expanding fast, driven by the Kingdom's broader push toward digital transformation under Vision 2030. D360 has already attracted 3 million customers and SAR 3 billion in deposits since launch — momentum it wants to capitalise on before competitors close the gap.
The fresh capital is earmarked for expanding D360's lending portfolio and enhancing its digital products for both consumer and SME clients.
What could go wrong? Competition in Saudi digital banking is intensifying. D360 will need to deploy this capital efficiently to maintain its lead, particularly as traditional banks accelerate their own digital offerings. Scaling a lending book quickly also carries credit risk, especially in a market still maturing.
The bank also plans to issue 8.75 million additional shares for an employee stock ownership plan, pending regulatory approval — further diluting existing shareholders.
The signal: Despite raising $400 million and reaching a $1.6 billion valuation, D360 is still classified as "early stage" on Dealroom — a reminder of just how nascent Saudi Arabia's digital banking market remains. With PIF backing and 3 million customers already onboard, the round signals that the Kingdom's neobank race is moving from proof-of-concept to a capital-intensive fight for lending scale, where sovereign-backed players hold a distinct advantage.
