TransferWise doubles valuation to $3.5 billion as early investors cash in

TransferWise has raised $292 million in a secondary share sale which values the money transfer startup at $3.5 billion.

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TransferWise doubles valuation to $3.5 billion as early investors cash in

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The new funding round makes TransferWise the most valuable fintech startup in Europe, effectively doubling the valuation it reached at its last financing in late 2017.

The secondary offering enables early investors to cash in their shares with the company's bulge-bracket backers, providing a profitable exit at a balooning valuation.

Snapping up the shares were Lead Edge Capital, Lone Pine Capital and Vitruvian Partners, with participation from existing investors Baillie Gifford and Andreessen Horowitz and from funds managed by BlackRock.

Pitched as a cheap alternative to costly bank currency transfer fees, TransferWise serves 5 million customers worldwide and processes £4 billion each month. In September it posted £6.2 million in net profit after tax on revenue of £117 million.

The company employs 1600 people across twelve global markets and intends to hire a further 750 staff to keep up with growth over the coming year.

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