Monzo Employees Can Now Sell Shares as Valuation Hits $5.9 Billion

Monzo's secondary sale rewards employees while attracting investor interest.

By Thea Felicity

Oct 11 2024, 08:50 AM EDT

Monzo employees can cash out their company shares after the UK neobank reaches a massive $5.9 billion in valuation.

The company is allowing employees to sell their shares through a secondary market sale as a reward for their contributions. At the same time, this also provides liquidity so they can access the financial value of their equity without IPO or company acquisition.

In a report by Techcrunch, this Monzo had a busy year as it raised $190 million in May, following a $425 million round in March. This included investments from Alphabet's CapitalG and GV, which brought its funding to $1.5 billion, a huge jump since it was founded 9 years ago. During this secondary market sale, existing investors like Singapore GIC and StepStone Group, bought additional shares as well.

With a tangible reward system for its employees, Monzo gets to retain and motivate staff as they continue to grow and expand. CEO TS Anil expressed that the share sale will also fulfill investor interest in owning Monzo shares.

Monzo's Valuation Progress

According to Bloomberg, Monzo's value was estimated at $4.6 billion (£3.6 billion) before the previously stated new round increased it to $5 billion (£4 billion). May saw a slightly raised valuation, and then June is when Monzo announced its very first yearly profit with revenues that increased more than twice.

Monzo is a UK-based digital bank that now serves 20% of UK adults and 6% of UK businesses. Its growth includes expanding further into Europe and speeding up its US debut.