By Pamela Barbaglia
LONDON (Reuters) – British fintech firm Wise said on Thursday it will go public in London in what will be the first direct listing of a technology company on the London Stock Exchange.
The payments app, formerly known as TransferWise, said it has been profitable since 2017, with a 54% annual revenue growth rate over last three years reaching 421 million pounds in overall sales in 2021.
The listing is expected to be finalized on July 5, with the company aiming for a freefloat of at least 25%, a bookrunner on the deal said.
The move comes amid tough market conditions in what has been a volatile year for stock market listings in Europe, with at least two initial public offerings (IPO) cancelled in recent weeks.
“Wise is used to challenging convention, and this listing is no exception,” said co-founder and CEO Kristo Käärmann.
“A direct listing allows us a cheaper and more transparent way to broaden Wise’s ownership, aligned with our mission,” he added.
Wise will combine its direct listing with a dual class share structure as it wants to bring customers and “other like-minded investors” into its shareholder base.
Goldman Sachs and Morgan Stanley are working on the listing.
(Reporting By Pamela Barbaglia; Editing by Rachel Armstrong)
