One of the top neobanks in the UK, Revolut, is starting new funding round for the third quarter with the objective of increasing its value to $10 billion. Nikolay Storonsky and Vlad Yatsenko, the co-founders of Revolut, are seeking a collaboration with FT Partners, a fintech investment bank with offices in the US, to provide them with guidance on the most effective structure and strategy for the upcoming push.
The creators of Revolut may become multi-billionaires as a result of this investment round. Although the process hasn’t started yet, its investors believe it will cost $15 billion, with $10 billion being the low estimate.
Britain’s Fintech Week
UK chancellor Rishi Sunak, who will offer considerable assistance to fintech companies, will deliver a lecture during the upcoming UK Fintech Week. This tale has much to say about the growth and evolution of the UK fintech sector.
Revolut, a sizable company with 2,200 workers, has seen its fair share of problems, including the departure of a number of its leaders and issues with compliance. They appear to have addressed their earlier issues and have a promising future ahead of them, though, based on this round of funding and the anticipated price.
Despite being widely used, the digital banking titan lost £106.5 million in August 2020 as a result of the outbreak. Clients and revenue increased during the first shutdown, and in November it achieved breakeven for the first time in two years.
Revolut’s Expansion
Revolut was founded in July 2015 and has already grown to over 15 million customers. Revolut is founded in the United Kingdom, but it is also accessible in Ireland, Switzerland, Singapore, Australia, Canada, and the United States. Revolut’s most recent investment round, in January 2020, received $500 million in cash and covered 35 countries. They keep growing and growing.
The firm is also in the process of seeking a banking license in the United Kingdom. While the firm does not require urgent money, the additional funding will assist cover a greater expansion, allowing it to attain the status of a worldwide bank worth around £250 million.
Revolut is swiftly becoming one of the most valuable fintech startups in the United Kingdom. However, it still has a long way to go to catch up with Klarna, a Swedish fintech company with a market capitalization of £31 billion.
Despite the increased cash, Nikolay Storonsky believes Revolut will not go public until it has a worth of at least $20 billion. All we can do now is wait and watch what happens.
