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Stripe loses 28% in valuation

Monday 18 July 2022 15:01 CET | News

US-based payments company Stripe has lost its valuation by 28%, becoming the latest privately-funded fintech to suffer from the repercussions of a sustained sell-off of tech shares, according to Financial IT.

Stripe was last valued at USD 95 billion after a USD 600 million funding round sealed in March 2021.

According to the Wall Street Journal cited by Financial IT, the company informed employees of the mark down by email last week, setting its implied share price at USD 29, versus the previous calculation of USD 40. The decision cuts USD 21 billion off the company's valuation, reducing the headline figure to USD 74 billion.

Asked about the company's valuation at the Money20/20 show in Amsterdam last month, Stripe co-founder John Collison was relaxed on the topic, noting that the company had plenty of runway with cash in the bank, Financial IT explains.

Techcrunch detailed in June 2022 that data collected by Andreessen Horowitz, a well-known venture capital firm with a history of investing in financial technology, shows that public fintech companies are suffering from greater valuation declines than other technology categories, with data from Fidelity Investments’s various funds indicates that the investing giant has changed its mind about the worth of some of startup land’s highest-flying companies, including Reddit, Instacart, TikTok, along with Stripe.


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Keywords: fintech, financial services, funding, investment
Categories: Payments & Commerce
Companies: Stripe
Countries: United States
This article is part of category

Payments & Commerce

Stripe

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