Stripe tries to raise more money at $55B-$60B valuation • TechCrunch


When payments giant Stripe He collected 600 million dollars In the year With a valuation of $95 billion by 2021, it has made headlines for raising capital for a privately held startup.

Defending that assumption seems challenging. The fintech company is reportedly talking to investors about raising additional capital — at least $2 billion — at a valuation of $55 to $60 billion. As of 2011 Wall Street Journal, Stripe will not use the money for operating expenses but to cover the large annual tax payment associated with employee stock units. It is not clear if any discussions are underway.

That information came to light On the same day Streep reportedly told the crew. Set a time frame of 12 months To himself or to the public or Tracking transactions on the private market.

TechCrunch reached out to Stripe and it responded, “No comment.”

The news comes after several months of apparent struggle at the Strip. In November, he It is set It says it has 14% of its workforce, or about 1,120 people. We are busy with more than our world. And the company has cut its internal estimates more than once over the past year. Earlier this month TechCrunch reported that Stripe Cut the inner guess About 63 billion dollars. That 11% reduction came after an internal review. A cut that occurred for six months He previously valued the company at $74 billion.

Raising additional capital at an estimate of $55 billion to $60 billion is definitely characterized as a low round But Stripe wouldn’t be the first major fintech to do so. Fellow European and BNPL behemoth Klarna raised $800 million last year at $6.7 billion, down 85% from an estimated $45.6 billion in June 2021.

In the year By 2021, Strip is reported to have $12 billion in total revenue and EBTA profitability. Forbes. The company’s products, in its own words, power online and physical retailers, subscription businesses, software platforms and marketplaces, “and everything in between. It has not publicly disclosed revenue figures from 2021.

Stripe is one of the many high-value fintech startups that have experienced a late-stage breakout. In December, Decacorn Plaid was fired 260 employees, or 20% of its workforce, said it had “hired ahead of revenue growth.”

In particular, last year the two companies had a bit of a public falling out — despite being partners — when Stripe was revealed in May. brand new, financial relations. That new product is designed to give Stripe customers a way to connect directly to their customers’ bank accounts, access financial information to expedite or process certain types of transactions — just as Plaid has historically done. Plaid came out swinging by announcing its own months later Payments are pushed.

Founded by Irish brothers John and his brother Patrick Collison (the CEO), Stripe has raised over $2.2 billion in funding since its inception from investors such as Allianz – Allianz X Fund, Ax, Bailey Gifford, Fidelity Management & Research Company, Sequoia Capital, General Catalyst , Base Partners, GV and an investor from the founders’ home country, Ireland’s National Treasury Management Agency (NTMA).

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