Fintech company Ebury has appointed Goldman Sachs to lead its planned £2bn initial public offering (IPO), the Financial Times reported. Ebury, owned by Spanish bank Santander, is pushing its IPO plans as one of the few companies defying the current market conditions.
Defying Tough Market Conditions
Ebury's decision to list in London, after evaluating various other options, represents a vote of confidence for the UK capital markets, which have seen a dramatic drop in listings. Many companies in the fintech sector have recently hesitated to go public due to high interest rates and volatile market conditions. Sources familiar with the matter suggest the IPO could take place in the first half of next year, with Ebury potentially valued at around £2bn.
Last year's IPO of rival fintech CAB Payments, which saw its shares plummet over 70% within three months, added to investor caution. Ebury's listing initiative could serve as a critical test for London's capital markets, which aims to attract more listings by enhancing its regulations.
Other London-based fintechs, such as Zopa, Revolut, Starling, and Zilch, have also indicated potential plans to go public in the coming years. The last notable success in the sector was Wise's direct listing in 2021, which was widely celebrated as a triumph for the industry.
Other London-based Fintech Firms
Ebury offers a range of services, including cross-border payments, payroll transfers, currency risk management , and business lending. Founded in 2009 by Spanish engineers Juan Lobato and Salvador García, Ebury reported earnings before interest, taxes, depreciation, and amortization of £16 million and revenue of £204 million for the year ending April 2023.
Recently, Ebury entered into a partnership with dLocal, a cross-border payment firm focusing on high-growth markets. This agreement seeks to boost Ebury's capability in facilitating international transactions, particularly in African markets.
Besides that, the financial technology company is expanding its services across Brazil, with the launch of Ebury Bank early this year. The company bought Bexs Group, which includes Bexs Banco and Bexs Pay, and conducted the transition of controllers as per the Brazilian Central Bank procedures.
