London-based fintech company Revolut has reached a valuation of $45 billion, following a secondary share sale to new and existing investors. This makes the digital banking app worth more than some of Europe’s biggest banks, including France’s Societe Generale and Britain’s Barclays. The share sale was led by Coatue, D1 Capital Partners, and existing investor Tiger Global, allowing employees to cash out some of their shares.
The valuation solidifies Revolut’s position as one of Europe’s most valuable fintech companies. Investors are drawn to its rapid growth and potential to outpace traditional banks, many of which have struggled with weak profitability and new regulations. Revolut’s success contrasts sharply with traditional European banks, which have seen stagnant share prices in recent years.
Founded in 2015 by CEO Nikolay Storonsky, Revolut has grown quickly and now boasts 45 million customers globally. The company reported a record pretax profit of $564 million in 2023. Investors believe that Revolut’s newly obtained UK banking license will attract more customers seeking app-based banking, without the costs of physical branches.
Despite its growth, questions remain about Revolut’s future. CEO Storonsky has reportedly considered selling part of his stake, although the company declined to comment on the details. Revolut has also hinted at plans for a public listing but has not provided a timeline.
Coatue founder Philippe Laffont praised Revolut for transforming global banking with its innovative products.
