Investor pressure is increasing around the potential for a secondary share sale that could value the company at $60 billion, according to reports. This interest comes amidst a backdrop of rising valuations in the fintech sector, which has experienced revitalization and growth recently.
Shareholders have shown a willingness to sell their stakes, indicating that there is significant demand for new investors wanting entry into this thriving market. This potential new valuation represents a considerable increase from six months prior when the company was valued at $45 billion, underscoring the renewed investor enthusiasm in financial technology.
Several existing shareholders have expressed openness to selling at this lofty $60 billion figure. However, no formal sales process has been started, and requisite approvals will be necessary from the company’s leadership before any steps can be taken toward a sale.
The discussions regarding a potential share sale are taking place as the company is expected to announce a remarkable pre-tax profit of around $1 billion for 2024. This figure would nearly double the $545 million profit recorded the previous year, signaling strong financial health and growth potential.
The escalating interest in shares reflects a wider resurgence in the fintech sector. Other competitors, such as a major player preparing to conduct stock sales at an impressive valuation of $91.5 billion—up from $70 billion last year—also highlight the booming marketplace for financial technology services.
A prior share sale conducted in mid-2023 saw a strong appetite for investment, where early investors and employees liquidated shares worth approximately $500 million. This round, backed by prominent investors, was so highly sought that it led to a follow-on sale in November due to overwhelming demand, indicating robust confidence in market conditions.
While discussions of another sale create excitement, sources suggest that going public may not occur until 2026. The company seems to favor a U.S. listing, aligning with its aspirations for global expansion. In the meantime, its user base has surpassed 50 million globally, positioning it among the largest financial institutions in terms of customer count and placing it alongside traditional banking titans.
With fintech valuations on an upward trajectory and investor interest reaching unprecedented heights, the company is at a critical juncture. The decision regarding whether to authorize another round of shares is pending, leaving shareholders evaluating the opportunity to realize gains amid the rising valuation landscape.