Grasshopper, a full-service digital bank, has completed a $46.6 million funding round led by Patriot Financial Partners LP, with additional participation from Glendon Capital Management. This investment supported the bank’s merger with Auto Club Trust, FSB in April 2025 and will be used to expand its digital platform and product offerings for both businesses and consumers.
In the first half of 2025, Grasshopper experienced significant growth, with total assets increasing by 53% to $1.33 billion and total deposits rising by 81% to $2.37 billion. The bank’s total loans also grew by 49% to $961.8 million.
To support its strategic growth, Grasshopper has added four new members to its Board of Directors:
— James Fitzgerald: A retired banking executive with experience at Eastern Bankshares and Citizens Financial Group.
— Brian Graham: A co-founder of Klaros Group, with a background in banking, investment strategy, and public policy.
— Karen Solomon: A bank regulatory lawyer with over 30 years of experience, including a senior role at the Office of the Comptroller of the Currency.
— John M. Surgent, CPA: An entrepreneur who founded several firms, including GMS Surgent CPA’s and Surgent Professional Education.
This new capital and expanded leadership team will help Grasshopper scale its technology and deliver cutting-edge digital banking solutions to a broader audience.
KEY QUOTE:
“From the beginning, our vision has been to redefine what digital banking can do for entrepreneurs, modern businesses, and the ecosystem that supports them. With our recent acquisition, we are excited to expand that vision to serve consumers through our affinity banking partnership with The Auto Club Group. The backing from this seasoned group of investors is a powerful vote of confidence in our mission, our strategy and our team. We’re incredibly proud of the momentum we’ve built, and we’re just getting started. This capital gives us the opportunity to continue pushing boundaries, broaden our reach, and unlock new possibilities in how we deliver meaningful, future-ready digital banking experiences that meet people where they are and anticipate where they’re headed next.”
Mike Butler, CEO of Grasshopper
