In a move that is likely to be the final fundraising effort before its initial public offering (IPO), British digital bank Monzo is in advanced discussions with a group of blue-chip investment funds regarding a £300 million stake sale. The identities of the potential investors have not yet been disclosed, however, the deal is expected to be finalized by the company's board by the end of this year.
Today, Monzo has grown to become Britain's most highly valued digital bank with 8.5 million customers. This latest share sale is projected to elevate its valuation beyond £3.5 billion, according to Sky News. The upcoming stake sale surpasses the £3.5 billion capital that Monzo secured from the Abu Dhabi Growth Fund in 2021.
The bank's forthcoming IPO marks a significant financial milestone as Monzo anticipates achieving profitability for the first time this year. This event will allow Monzo to sell shares to the public, further bolstering its financial standing.
The upcoming stake sale and subsequent IPO underscore Monzo's growth trajectory and solidify its position within the UK's competitive banking sector.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.