(Bloomberg) -- Betterment LLC has raised an additional $160 million, pushing the robo adviser’s market value to almost $1.3 billion.
The funding includes a $100 million credit facility and a $60 million Series F equity round led by venture-capital firm Treasury, Betterment said Wednesday in an emailed statement. Existing investors, including Kinnevik, Anthemis Group and Bessemer Venture Partners, also participated in the round, as did newcomer Aflac Ventures, a division of insurer Aflac Inc.
Betterment, which has about 700,000 clients and oversees $32 billion, plans to use the funding to expand business-to-business units, Chief Executive Officer Sarah Kirshbaum Levy said in a phone interview. In addition to its core app for individual savers, Betterment sells retirement plans to mid-size companies and tools for financial advisers.
“The fundraising is coming off of a year where we’re delivering incredible momentum,” Levy said.
Robo advisers, which manage money through software instead of direct human interaction, are a lower-cost option for savers than traditional financial planners.