Blockchain company R3 may complete $150 million financing, with more than 30 banks expected to participate

Blockchain consortium startup R3 is raising $150 million in a funding round that is expected to involve more than 30 member banks, according to people familiar with the matter.

Following this round of funding, R3 will retain a 40% stake in the company, with member banks allocating the remaining 60%.

Member banks that did not participate in the funding round are said to be able to join R3 Labs, a separate entity that includes all members that joined after November last year, when R3 closed the channel, with a total of 42 member institutions. Reuters reported that the initial 42 member institutions have the opportunity to participate in the first investment, but the round is also open to other non-bank investors.

Banks that did not participate in the financing are also said to have lost investment opportunities.

Sources said all other bank members who had expressed interest in the deal were alerted yesterday.

One of the sources expressed frustration at how long the deal had taken, while another praised the banks involved in what he called a challenging negotiation.

The comments came within 24 hours of Goldman Sachs and Santander announcing their withdrawal from the R3 consortium, without giving a reason for their exit.

R3 said it would not be making any additional comments for now, reiterating a statement it made to the press yesterday:

“It takes dedication and a lot of resources to develop technology like this, and different members of our team have different abilities, which naturally change over time.”