Revolut has
offered former employees the chance to sell their shares back to the company at
a price that implies a valuation of about $52.5 billion, roughly 30% below the
$75 billion level set in its latest funding round completed in November.

The offer
prices the stock at $966.74 per share for alumni, according to correspondence
sent to former staff. And seen by the Financial Times.

Revolut’s Discounted Offer
Follows $75 Billion Round

The buyback
for ex-employees comes shortly after Revolut’s latest secondary share sale,
which was led by Coatue, Greenoaks, Dragoneer and Fidelity and valued the
fintech at
$75 billion. That valuation puts the London-based group in the same range
as UK high street banks such
as Barclays and Lloyds, despite Revolut still operating without a full UK
banking license.

In the
correspondence to former staff, Revolut said the alumni offer is 30% below the
recent funding valuation but represents a 12% premium to the price available in
a 2024 secondary sale. A person familiar with the program said some former
employees stand to make substantial sums, potentially in the millions of
dollars, depending on the size of their holdings.

Company Cites Former Staff
Demand

Revolut
said it expanded the buyback scheme this year in response to demand from
ex-employees who wanted to sell part of their stakes. In a statement, the
company said it had “received interest from a number of former employees
looking to sell shares, so we extended the buyback program that we started
earlier this year to facilitate this for those who wish to participate.”

The company
has presented the latest offer as a way to align liquidity options for current
and former staff, even at a discount to the headline valuation attached to the
November round. The moves follow a broader push to make Revolut’s employee
equity more liquid as its private valuation has climbed sharply in the last 18
months.

Banking License
Uncertainty Lingers

Despite the
lofty valuation, Revolut still operates under a restricted UK banking license
in what regulators describe as a “mobilization phase.” During this period,
deposits at its UK banking unit are capped at £50,000 in total, and the company
is required to strengthen its risk controls and infrastructure before a full license
is granted.

Concerns
around global
risk management have weighed on regulatory approvals, noting that Revolut
has been in the mobilization phase for longer than the typical 12 months. The
extended process has added a note of caution for investors weighing the
fintech’s growth trajectory against traditional banks with long-established
regulatory track records.

Alongside
its banking ambitions, Revolut has been expanding in digital assets and capital
markets. In November, the
company secured approval from CySEC to offer crypto services across 30 EU
markets, giving it potential access to as many as 450 million Europeans for
products that include staking and stablecoin features, according to Finance
Magnates.

This article was written by Damian Chmiel at www.financemagnates.com.

—

— CONTENT NOT MODERATED BY G6

— Please be careful with this content. If you don’t think it should be here, please get in touch with us at [email protected]