Revolut looking to raise $1 Billion for its expansion plans
Revolut, the fintech that acts as a currency exchange and payments provider, is said to be chasing $1 billion in funds as it looks to continue its growth and expansion across Europe.
It is learnt that the advisors of the fintech have been seeking opinions and consulting with investors like Japan’s Softbank as it looks to raise anywhere between $750 million to $1 billion in the short term. If it does go through, then fintech is likely to become one of the most valued financial services companies in Europe.
As we have been repeatedly reporting across Europe and the globe, the payments industry has been in focus all around the world during and post the pandemic as it is believed that people would continue to use digital payments more and more in the coming years. The pandemic had pulled the people out of their comfort zones and got them used to make digital payments even for basic needs and this trend is expected to continue in the years to come. This makes all the payments companies very valuable assets which investors are eyeing.
We had also reported that the losses suffered by Revolut have almost doubled over the past year despite the increase in the number of users and revenue as well. The company had reported profits over the last 2 months in 2020 but still ended the year with loss of £207,875 overall. But the company is strong and stable and has also been expanding its business into Australia, the US and Japan which makes it a prime target for many investment funds. It is expected to continue to receive a lot of patronage if and when it seeks to look for funds as it is in an industry that is expected to boom in the coming months and has a good track record overall as well.
It has also been branching out into the cryptocurrency market as well as it continues to add new cryptos into its basket and also allows users to buy and sell cryptos through its platform using fiat currencies and a combination of payments and cryptos is the best combo that investors seek at this point of time.
But investors would also look to Revolut to overturn its losses and turn them into profits in double quick time as it is primed to do so though it is not very clear why it has been making losses despite being in a growing industry. All these would be factors that investors consider when they do decide to come onboard.