Softbank and Tiger Global have bought into Revolut at a $33 billion valuation equivalent to the market capitalization of big-four UK incumbent NatWest, and about a third bigger than Deutsche Bank and Societe Generale.
The unlisted UK neobank is now only about 15% behind the market caps of Barclays and BBVA, two banks with billions of dollars in profit – and earning about 80 times more revenue than Revolut did last year.
“A lot of [fintech] firms are focused on a single product, like merchant acquiring, or a single geography, like the US or the UK,” chief financial officer Mikko Salovaara, tells Euromoney. “What’s special about Revolut is that our ambition is to serve individuals and businesses across all their financial services needs, and globally.
“Investors are realising that’s a great ambition to have, as the market opportunity is enormous, and we have a reasonable shot at exploiting it.”
Now what’s clear is that we have a diversified business
Revolut’s latest funding round, raising $800 million, comes at a valuation way bigger than rumoured only a few months ago.
