Russell Westbrook Leads $63M Investment In Varo Bank

Varo Bank, an all-digital, nationally chartered bank, formally announced an engagement with nine-time NBA All-Star Russell Westbrook.

What Happened: Varo Bank is a digital bank that provides Americans the tools to achieve financial wellness.

As part of a vision to expand the depth and breadth of its product portfolio, as well as promote innovation, the bank announced it would onboard Westbrook as an investor and advisor to the company.

Advised by Jefferies, Westbrook, through Russell Westbrook Enterprises, lead a $63 million raise which will support Varo’s social impact initiatives, as well as product innovation.

The 2017 NBA Most Valuable Player joins existing investors including Warburg Pincus, The Rise Fund/ TPG Growth, Gallatin Point Capital, HarbourVest Partners, and Progressive Insurance.

“The banking system has ignored or underserved a large portion of the American population - particularly communities of color. I’m passionate about making lasting social change and creating a stronger and more inclusive system,” said Westbrook. “I am excited and ready to work with Varo to be a part of an economic revitalization for those who never had the access they deserved.”

Why It Matters: The COVID-19 coronavirus pandemic sped the digital disruption in banking.

To capitalize on pandemic disruptions, Westbrook’s involvement will empower Varo’s mission to reimagine banking, through the combination of technology, design, and social impact initiatives.

“The Varo team is thrilled Russell is joining us on our trailblazing journey as the only all-digital, mission-driven national bank in the country,” said Colin Walsh, founder, and CEO of Varo Bank. “We both share a view that banking can be - and needs to be - a force for good.

"Russell is a visionary and his energy and passion for design, product excellence, and community impact will help propel Varo’s next phase of growth. Working together will accelerate our efforts to reimagine banking for all of us.”