Crypto-Friendly Bank Revolut Plans to Sell $500M of Employee Shares at $45B Valuation: WSJ

The first employees of startups are often given stock as part of their compensation, which they can sell when the company goes public.

Revolut may be aiming to allow employees to convert their shares into cash, while also boosting the fintech firm’s valuation ahead of its IPO.

Digital bank Revolut plans to sell shares worth about $500 million to its employees, the Wall Street Journal reported on Tuesday.

The news, based on sources close to the matter, stated that with the agreement, Revolut’s value will increase to $45 billion.

The London-based fintech company has been allowing cryptocurrency trading through its app for several years and launched a standalone cryptocurrency exchange for experienced investors in May.

Revolut was in talks with investment firm Greenoaks over the sale, which would pave the way for a potential initial public offering (IPO).

Early-stage employees of startups are often given stock as part of their compensation, which they can cash in when the company goes public. But high interest rates in recent years have created an uncertain environment for IPOs. Revolut may be aiming to provide an additional boost to the company’s valuation ahead of an IPO while allowing employees to raise some cash.

The company declined to comment when contacted by CoinDesk.

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