Revolut, a prominent player in the global FinTech sector, has recently announced a secondary share sale aimed at providing liquidity to its employees, enabling them to benefit financially from their contributions to the company’s impressive growth.
This move allows Revolut’s workforce to cash in on their hard work as the company’s valuation soars to a staggering $45bn, reaffirming its status as Europe’s most valuable private technology enterprise.
With over 45 million customers worldwide, Revolut has secured its position through strategic agreements with top technology investors via this secondary share sale. The transaction was spearheaded by Coatue, D1 Capital Partners, and Tiger Global, a testament to investor confidence in Revolut’s trajectory and strategic direction.
Reflecting robust financial health, Revolut reported a remarkable 95% increase in revenues year-on-year in 2023, reaching $2.2bn, alongside a pre-tax profit of $545m. The company’s momentum continues into the first half of 2024, with revenues climbing over 80% annually and further improvements in profitability. With these achievements, Revolut is on course to expand its customer base beyond 50 million by year-end, maintaining its lead as the fastest-growing finance app in 19 different markets.
2024 has been a pivotal year for Revolut, marked by significant milestones such as the acquisition of a banking licence in Mexico and an Authorisation with Restrictions as a bank in the UK. These developments underscore Revolut’s ambition to scale globally. Furthermore, the launch of innovative offerings like the RevPoints Loyalty Programme, eSIMs, and the Revolut X digital asset exchange highlight its commitment to diversifying and enhancing customer experiences.
Nik Storonsky, CEO of Revolut, expressed his enthusiasm about the share sale, stating, “We’re delighted to provide the opportunity to our employees to realise the benefits of the company’s collective success. It’s their hard work, innovation, and dedication that has driven us to become the most valuable private technology company in Europe. We’re also excited to partner with several new investors who share our vision as we continue our journey to redefine the banking landscape as we’ve known it.”
Philippe Laffont, Founder and Portfolio Manager at Coatue, echoed this sentiment, highlighting Revolut’s success in scaling across numerous markets. “We have a high level of conviction in Revolut’s mission to democratize access to financial services globally.
“Revolut’s proven ability to scale across dozens of markets is a testament to the team’s commitment to product velocity, financial inclusion, and financial innovation. Under Nik and his team’s leadership, Revolut has navigated the complexities of the financial services landscape to deliver an impressive product suite that meets the needs of its rapidly growing customer base. We look forward to supporting Revolut as it continues to help transform the global banking industry.”
Morgan Stanley acted as the sole placement agent for the transaction, further validating the strategic importance of this equity sale.
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