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Revolut CEO to sell part of stake in $500 million share sale, Sky News reports

Published 07/07/2024, 07:32 AM
Updated 07/07/2024, 07:55 AM
© Reuters. Nikolai Storonsky, Founder & CEO of Revolut speaks during the Web Summit, a technology conference, in Rio de Janeiro, Brazil, May 2, 2023. REUTERS/Pilar Olivares/File Photo

(Reuters) -British fintech company Revolut's CEO Nikolay Storonsky will cash in part of his multibillion dollar stake in the company as part of a $500 million share sale, Sky News reported on Sunday.

The Financial Times reported last month that the digital finance app is working with bankers on the share sale, including shares held by employees, which could value it at more than $40 billion.

The size of Storonsky's stake in the company is unclear, the report added, and the scale of any disposal would depend on the valuation that Revolut is able to attract from new investors as well as final allocation decisions by the company.

Revolut declined to comment when contacted by Reuters.

The company has signalled its aim to list publicly but its interim chief financial officer Victor Stinga declined earlier this month to comment on any timeline for an IPO.

Revolut made a record pretax profit of 438 million pounds ($553.8 million) in 2023 on strong user growth and soaring interest-related income, as it looks to cement its place as Europe's most valuable startup.

© Reuters. Nikolai Storonsky, Founder & CEO of Revolut speaks during the Web Summit, a technology conference, in Rio de Janeiro, Brazil, May 2, 2023. REUTERS/Pilar Olivares/File Photo

Britain's fintech industry has faced a funding crunch in recent years as investors have become more skeptical of sky-high pandemic-era valuations and put pressure on companies to become profitable.

Revolut has applied for a UK banking license but three years on is still awaiting approval.

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