Raylo, a consumer electronics subscription service, has received a £110m debt financing facility from retail bank NatWest and growth investor Quilam Capital, along with unnamed previous backers provided equity funding.
London-headquartered Raylo has created a platform for consumers to lease new gadgets such as phones, tablets and laptops.
Raylo aims to get more use out of electronic devices by refurbishing them after their lease has expired, before eventually recycling them. For each device, Raylo aims for at least six years of use.
“This financing supports our strategy to further expand our platform and provide even more customers with affordable and sustainable access to the tech products they really want,” said Karl Gilbert, co-founder and CEO of Raylo.
The company was co-founded by Gilbert, along with CPO Jinden Badesha and CSO Richard Fulton, in 2019.
Future plans for Raylo include expanding its service into the securitisation markets, allowing third parties to purchase tech stock and be paid interest along with “new retail categories”.
Last July, Raylo raised £6.5m in a funding round that was led by Wayra UK.
“The business’ commitment to changing the way consumer electronics are sold and enjoyed is extremely well aligned with NatWest’s ESG objectives and passion for innovation and disruptive technologies,” said Milena Sheahan, senior director, NatWest.
In total, the circular economy fintech has secured more than £150m in funding. Previous investors include Octopus Ventures and Telefónica.