Revolut’s Crypto Trading Bank Aims to Raise $500 Million For A ‘Global Hiring Spree’
- Revolut offers many digital services from their banking app, including money management tools and slicker apps.
- CEO and founder Nikolay Storonsky said that the company hopes to increase their staff to 5,000 members by late next year.
Revolut is a major digital banking app in Britain, but it looks like the brand is looking to establish itself in the rest of the world as well. According to a news article with Reuters, the British-based app is hoping to raise a minimum of $500 million with investors next year, which will be used to fund their “spree” of new hires around the world. This process will allow the brand to get into multiple markets around the world, including the United States and Japan.
The app has continually made waves in the financial industry, as the slicker apps, money management tools, and other offers challenge high street banks to get more digitally involved. Nikolay Storonsky, the CEO and founder of the company, spoke with Reuters on Tuesday about the developments. Storonsky stated, “We want to raise at least $500 million in direct equity and potentially, maybe at a later stage, up to $1 billion in convertible [debt].”
He added, “We have done soft marketing with investors and we are continuing doing it, so hopefully in the next several months, we’ll get it done,” in regard to the fundraising efforts. Revolut has had substantially and fasts progress since it was launched only three years ago. Presently, there are over 8 million customers that are involved with the brand.
Now, the goal is to expand partnerships involving Visa and Mastercard and to push for the global expansion that they’ve already launched in the United States and Singapore. Starting with 1,800 employees, Storonsky expressed that the staff will hopefully expand to 5,000 people by the end of next year. He added, “Right now, I would say 60 percent of my time is just spent on hiring.”
Through these hires, Revolut is looking to add technology developers, data scientists, support staff, compliance experts, and senior executives to the company. Right now, there are ongoing discussions with private equity investors and others to add more funding at this stage, hoping to secure investors that will be providing checks worth $50 million to $100 million.
While investors seemingly are willing to fund larger startups, the 35-year old founder states that they are becoming wearier of where they place their funding. He stated that the demand for “good healthy businesses” remains, but the investors set to get involved with them are more focused on the profits that they bring in and the economics. Just a few years ago, the focus was on market domination and growth instead, though Storonsky commented that Revolut’s revenue and growth margins were much bigger than other fintech right now.