AMSTERDAM, June 17 (Reuters)Netherlands-based challenger bank Bunq has agreed to terms for a 160 million euro ($194 million) investment by a British private equity firm, valuing the Dutch company at $2 billion , said two sources familiar with the talks.

Bunq was established nearly a decade ago by Ali Niknam, who invested around €100 million of his own capital in the company and is also its sole shareholder.

Bunq, which offers online banking services in 30 markets including the whole of the European Union, exceeded 1 billion euros in user deposits this year.

The COVID-19 crisis is not considered a financial crisis as many banks are well capitalized and private equity firms are willing to invest as they seek higher returns in an environment of record stock prices and negligible interest rates.

The investment is pending regulatory approval, the sources said, declining to name the investor. They asked not to be named as the case is not yet public. Bunq declined to comment.

($1 = 0.8250 euros)

(Reporting by Anthony Deutsch; editing by Barbara Lewis)

(([email protected];))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.