TransferWise valuation jumps to USD 5 bln in USD 319 mln secondary share sale

TransferWise has announced secondary sales amounting to a total of USD 319 million at a new valuation of USD 5 billion.

So far, the company has attracted over USD 1 billion in primary and secondary share sale transactions. The round was led by existing investors Lone Pine Capital and new investors D1 Capital Partners. Vulcan Capital also came on board as a new investor, attracted by TransferWise’s accelerated growth. Baillie Gifford, Fidelity Investments, and LocalGlobe expanded their existing holdings.

This amounts to an uplift of 43% since May 2019. The round allowed shareholders and employees to sell some of their holdings to other new and existing investors. Employee share sales were settled using the TransferWise for Business platform. The business product is a fast-growing elements of the TransferWise portfolio and has recently launched partnerships with Xero and GoCardless.

The company has expanded beyond its core money transfer product via its borderless account international banking service targeting expats, freelancers, and travellers. The TransferWise borderless account holds over GBP 2 billion in current deposits. Since 2018, one million debit cards have been issued by the company, according to the official press release.

Moreover, the company is adding 10,000 business customers each month. Ten banks across three continents, including neobanks Monzo, N26, bunq, and from today, Aspire in Singapore, now offer TransferWise’s service to their millions of customers through the TransferWise for Banks API.