Revolut, Europe’s most valuable start-up, is in talks to raise $1 billion in fresh capital at a staggering $65 billion valuation, as reported by the Financial Times. This significant funding round will not only support the fintech group’s aspirations for global expansion but also illustrates the rapidly evolving landscape of financial technology.
The proposed funding is a remarkable 44% increase over its last known valuation of $45 billion from a secondary share sale just one year earlier. The boost in valuation underscores the growing confidence in Revolut’s business model and its potential to reshape financial services worldwide.
To facilitate this capital raise, the London-based company plans to issue a combination of newly minted shares alongside the sale of existing stock. According to the report, Greenoaks, a U.S. investment firm renowned for investing in high-growth technology ventures like Robinhood and Stripe, is in discussions to lead this investment round. While specifics remain under negotiation, the involvement of such a reputable investor hints at the promising prospects for Revolut.
This leap in valuation is particularly noteworthy as it brings Revolut closer to an internal milestone. CEO Nik Storonsky stands to receive a substantial compensation package if the company successfully reaches a $150 billion valuation, illustrating the strong alignment between leadership objectives and shareholder interests.
Revolut has continually diversified its offerings, providing users with opportunities to engage with various cryptocurrencies and crypto stocks. In line with its innovative spirit, the company is also working on rolling out Lightning Network payments for European users, showcasing its commitment to pioneering advancements in digital finance.
As Revolut navigates this crucial funding phase, industry stakeholders will be watching closely. The outcomes of these discussions could not only have significant implications for the company’s trajectory but also for the broader fintech sector, which continues to attract enormous investment and attention worldwide.
