(Bloomberg) -- Estancia Capital Partners LP is taking a minority stake in cash deposit platform Flagstone, in order to provide “firepower” to the UK startup’s savings products.

Flagstone said the £108 million ($139 million) investment from the private equity company will be used to consolidate and expand in Britain and internationally, as well to reward existing investors. The firm did not disclose the size of Arizona-based Estancia’s stake following the deal. 

“At a time when funding capacity is down on a global scale, Estancia’s investment and market expertise provides us with the firepower necessary to really capitalise on the opportunities ahead of us,” said Simon Merchant, co-founder and CEO of Flagstone. 

Flagstone’s platform allows customers to split their money across various providers and take advantage of interest rate changes and offers. It provides similar services to UK financial firms including St. James’s Place and Revolut.

The firm has more than 600,000 customers and assets under administration of more than £11 billion. Flagstone said it increased assets by more than £1 billion per quarter in 2023, with growth in both business and retail customers, and added that it’s been profitable for the past five quarters. 

Flagstone has raised £149 million to date from investors including Estancia Capital Partners, OMERS Ventures, Kindred Capital, Volution and Moneysupermarket Group. The latest investment is both primary and secondary funding, enabling Flagstone’s early backers “to realise a significant return on their investments,” according to a statement. 

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