Bloomberg Línea — Stripe, one of the world’s best-valued fintechs – valued at $95 billion in the latest investment round – has now reduced the internal value of its stock by 28%, according to The Wall Street Journal, which cited people familiar with the matter.
According to the newspaper, Stripe told employees that its internal share price would now be $29 – down from $40 – a move that would reduce the company’s valuation to $74 billion, in calculations excluding the fintech’s largest shareholders.
The move is in line with the drop in valuations of startups that scored great valuations the pandemic years. Earlier this month, “Buy Now, Pay Later” fintech Klarna received an investment from Sequoia that valued the company at $6.7 billion, a drop of nearly seven times its previous valuation.
Ebanx, the Brazilian version of the payment processing startup, recently made a 20% cut of its 1,700 employees to reduce costs attributing to the new economic environment. dLocal (DLO), which has the same business model, was listed on Nasdaq in 2021, and has a market cap of $7.1 billion, down from $9 billion after debuting on the US exchange.