Nik Storonsky’s substantial stake reduction in Revolut highlights strategic moves within fintech.
- Reports reveal Storonsky sold up to 60% of his shares in a recent employee-driven sale.
- The roughly $500m secondary share sale included Storonsky’s $200m-$300m offload.
- Despite the sale, Storonsky retains a significant portion of his estimated $8bn stake.
- Revolut remains a top-valued European private tech entity, continuing strategic expansions.
In a recent strategic maneuver, Nik Storonsky, the founder and CEO of Revolut, has reportedly sold a significant portion of his stake in the fintech powerhouse. The sale was part of a broader secondary share transaction totaling approximately $500 million. Storonsky’s contribution to this sale ranged between 40% and 60% of his holdings, indicating a sell-off valued between $200 million and $300 million.
Despite this major sale, Storonsky continues to hold a substantial interest in the company, with his overall stake estimated at approximately $8 billion. The transaction reportedly represents just a fraction of his total holdings, ensuring his continued influence within the company. Revolut has chosen not to comment on these transactions, as reported by City AM.
This share sale has cemented Revolut’s valuation at about $45 billion, reinforcing its status as the most valuable private technology firm in Europe and positioning it as one of the notable banking institutions in the United Kingdom. Such a valuation underscores the company’s growth trajectory and its potential for future public listing ambitions.
The secondary share sale allowed thousands of Revolut employees to participate, which the company described as a move designed to “provide employee liquidity.” This opportunity attracted interest from significant investment entities including Coatue, D1 Capital Partners, and Tiger Global, who were among the main buyers.
Since its inception in 2015 as a digital payment platform, Revolut has seen considerable growth, expanding its services to include cryptocurrency and eSIM offerings. The fintech reported a record pretax profit of £438 million in 2023, driven by higher interest rates and a substantial increase of nearly 12 million new retail customers over the year.
Revolut’s challenge to traditional banks intensified in recent months following the acquisition of a UK banking license, albeit temporarily restricted. This license marks a significant regulatory milestone allowing Revolut to engage directly with deposit holding and lending within its domestic market, where it claims a nine million customer base. Additionally, this development may positively impact its future aspirations for a US banking license.
Amidst these developments, Revolut is reportedly considering an IPO, with potential interest in listing on the Nasdaq rather than the London Stock Exchange, showcasing its forward-looking approach and international ambitions.
Nik Storonsky’s stake sale in Revolut marks a pivotal moment in the fintech’s ongoing evolution, reflecting both internal liquidity strategies and broader market ambitions.
