Tencent invests in German startup N26

Technology giant Tencent Holdings Ltd has expanded its presence in Europe with an investment in German startup N26.

The Berlin-based app-only bank raised $160 million in a Series C round of funding led by Tencent and German insurer Allianz along with some of N26's existing investors.

N26, which is building a retail bank from scratch, has attracted 850,000 customers and raised $215 million in total. Other investors in the firm include Horizons Ventures founded by Hong Kong tycoon Li Ka-shing and Valar Ventures founded by Peter Thiel - the co-founder of PayPal.