Nov 11 (Reuters) - Neo Financial has raised C$360

million ($258.53 million) in its latest funding round, it said

on Monday, as the Canadian financial technology company looks to

compete against traditional banks.

The latest fundraising round included participation from

multiple Canadian entrepreneurs, such as Shopify ( SHOP ) CEO

Tobi Lütke, former Slack CEO Stewart Butterfield and Roblox ( RBLX )

CEO David Baszucki.

The Series D financing round, which includes C$110 million

of equity and C$250 million of debt, also saw participation from

Neo's existing investors - including Valar Ventures, Golden

Ventures, Afore Capital and Thomvest Ventures.

"Neo Financial's growth over the last 4 years reflects

Canadians' strong demand for alternatives to traditional

banking," CEO Andrew Chau said.

Fintech venture capital funding has been subdued in recent

years as higher interest rates and inflation curbed the

pre-pandemic era of cheap money.

Neo has raised more than C$650 million in funding since

inception in 2019. It offers eight products including credit and

prepaid cards, banking products and investment offerings.

"We need a culture of going for gold in Canada and this is

precisely what the team at Neo Financial has," Tobi Lütke said.

The new funding will allow Neo to expand its suite of

financial services products.

Additionally, Neo also announced the opening of its Toronto

office on Bay Street. It already has offices in Calgary and

Winnipeg.

($1 = 1.3925 Canadian dollars)