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London-based fintech Monzo is not in a debate over where to proceed with its long-awaited IPO, with the digital bank’s chief executive pushing for a US IPO, while the board favors the UK market.
The banking app, which is backed by Alphabet’s investment fund CapitalG and China’s Tencent and was valued at $5 billion last year, is in preliminary talks with bankers as it aims to be “IPO ready” by the end of this year, according to people briefed on its plan.
TS CEO Anil currently favors a US listing, the people said, while the company’s management was more inclined to float in the domestic market, where it has more than 10 million customers. Discussions were at an early stage, the people added, and no decisions had been made.
Monzo has not agreed on a timeline for its IPO and wants to be ready when market conditions allow it to go public, the people said. Monzo — founded in London a decade ago — is more likely to survive in 2026, one person close to the company said, but is focused on preparing governance and paperwork this year. Monzo declined to comment.
The difference of opinion in Monza’s top ranks over where to list could deal a potential blow to the London Stock Exchange and those trying to revive the fortunes of Britain’s stock markets. London-based companies raised the least amount of money on record last year, according to Dealogic data, due to concerns about liquidity and valuations of the UK market.
The fintech sector has emerged as one area that could potentially add to the fortunes of the London market with neo-banks Monzo, Revolut and Starling expected to list in the coming years. While The most valuable start-up in Europe Revolut has not officially decided on a listing location, its CEO Nik Storonsky expressed a preference for the US last year.
Monzo CEO Anil joined the group as its US boss in 2020 before taking the top job, replacing founder Tom Blomfield after he left the role that same year.
The former Visa chief executive has been active in pushing for reforms to make London’s capital markets more attractive through his involvement in the “unicorn council”, a coalition of fintech leaders looking to shape policy.
Monzo withdrew its application for a US banking license in 2021, but Anil has since expressed ambitions to re-enter the country — this time through a banking partnership that would allow him to bypass the license requirement. companies the last round of financing of 430 million dollars in 2024, led by CapitalG, was intended to finance its US expansion plans.
The bank, which is known for its bright pink cards, in recent months appointed Tom Oldham, who helped oversee the US listing of Brazilian digital lender Nubank, as chief financial officer.
Monzo reported on it first annual profit last year because higher interest rates and growth in transaction and subscription fees boosted his earnings. It is also opening an office in Dublin as part of plans to enter the Irish market, which it sees as a possible gateway to future expansion in Europe.
