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London fintech Monzo is conflicted about where to pursue its long-awaited listing, with the digital bank's chief executive pushing for an initial US offering 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 $5bn last year, is holding preliminary talks with banks as it seeks to get “IPO ready” by the end of this year, according to people familiar with the matter. and its plan.
Chief executive TS Anil currently favors a US listing, the people said, while the company's board favors a float in the domestic market, where it has more than 10mn customers. Discussions were at an early stage, they added, and no decisions had been made.
Monzo had not settled on a deadline for its IPO and is looking to settle when market conditions allow it to go public, the people said. Monzo – which was founded in London a decade ago – could have floated in 2026, said one person close to the company, but is focusing on getting its management and paperwork ready this year. Monzo refused to speak.
The difference of opinion at Monzo's top levels over where to list could face a potential risk to the London Stock Exchange and those trying to revive the fortunes of the UK share market. Companies floating in London raised the smallest amount on record last year, according to Dealogic data, amid concerns about the lack of markets and UK market forecasts.
The fintech sector has emerged as another area that could boost London's stock market fortunes with banks Monzo, Revolut and Starling all expected to list in the coming years. While The most valuable startup in Europe Revolut did not officially stay on the list, its CEO Nik Storonsky last year showed a preference for the US.
Monzo chief executive Anil joined the group as its US boss in 2020 before stepping up to the senior role, replacing co-founder Tom Blomfield after he left his role that same year.
The former Visa director has been working to push for reforms to boost interest in London's capital markets through his involvement in the “unicorn council”, a group of fintech leaders seeking to shape policy.
Monzo canceled his application for a US banking license in 2021, but Anil has set his sights on re-entering the country – this time using a banking partnership that will allow him to bypass the license application. For the company the last $430mn round in 2024, led by CapitalG, was intended to finance its expansion plans in the US.
The bank, known for its pink cards, has in recent months appointed Tom Oldham, who helped oversee US digital lender Nubank, as chief financial officer.
Monzo said the first annual income of the previous year as higher interest rates, and growth in transaction and subscription fees boosted its revenue. It is also opening an office in Dublin as part of plans to enter the Irish market, which it sees as a possible gateway for future expansion into Europe.