Stripe reaches $95bn valuation on back of fresh $600m injection

Written by Ruby Hinchliffe
15th March 2021

Stripe has this week landed $600 million in funding, confirming a valuation of $95 billion and making it the most valuable private company Silicon Valley has ever produced.

Leading investors in this latest round include Allianz X, Sequoia Capital, Axa, Baillie Gifford, Fidelity, and the Irish government-owned National Treasury Management Agency (NTMA).

This year, Stripe will continue to pursue enterprise clients

Stripe last raised $600 million in April 2020 from backers including Andreessen Horowitz, and General Catalyst. Stripe’s total raised to date is now more than $2 billion.

More to do in Europe

The fintech intends to use the fresh capital injection to invest in its European operations, particularly its Dublin headquarters, where it intends to create 1,000 new jobs.

It will also put the money towards its global payment solutions, which include billing, issuing, terminals, and capital. As well as its newly launched ‘Stripe Treasury’ offering, which rivals Banking-as-a-Service (BaaS) providers.

Of the 42 countries Stripe operates in, 31 sit in Europe. The fintech names Jaguar Land Rover, Metro and Waitrose as some of its newest clients. Longer-term customers include European start-ups Deliveroo, Klarna, and N26.

“We’re investing a tonne more in Europe this year, particularly in Ireland,” John Collison, Stripe’s co-founder and president, said in a statement.

“Whether in fintech, mobility, retail or SaaS [software-as-a-service], the growth opportunity for the European digital economy is immense.”

Expansion beyond Europe will see Stripe enter Brazil, India, Indonesia, Thailand, and the United Arab Emirates (UAE).

Enterprise growth

The fintech has, to date, acquired 50 customers which process more than $1 billion in payments annually.

It says enterprise revenue – which comes from companies such as Twilio and Zapier – is Stripe’s “largest and its fastest growing segment”. It has more than doubled year-over-year. This year, Stripe will continue to pursue enterprise clients.

“We’re investing in the infrastructure that will power internet commerce in 2030 and beyond,” Dhivya Suryadevara, Stripe’s chief financial officer, said in a statement.

“While Stripe already processes hundreds of billions of dollars per year for millions of businesses worldwide, the opportunity ahead is much larger for Stripe than it was when the company was started ten years ago.”