Monzo in early-stage sale talks with Brazil's Nubank at up to £10bn valuation
Sky News reports that Monzo has been approached about a sale to Brazil's Nu Holdings that could value the UK digital bank at £8–10bn, with Morgan Stanley and Qatalyst advising.
Monzo, the digital lender that has become one of Britain’s biggest consumer banks, is in early-stage talks about a sale to Brazil’s Nubank that could value it at between £8bn and £10bn ($10.60–13.25bn), Sky News reported on Saturday.
Sky News said Monzo had been approached about a combination with Nu Holdings, which is listed on the New York Stock Exchange with a market capitalisation of about $65.5bn. The British bank has engaged investment bankers from Morgan Stanley and Qatalyst to advise it, and outline terms of a deal are said to be under negotiation.
An acquisition by Nubank is one of two options being explored by Monzo’s board and shareholders. The other is a new funding round expected to value Monzo at more than £8bn, with the proceeds earmarked for further expansion in mainland Europe.
Monzo has 16 million customers — 15 million personal and one million business — making it one of Britain’s top ten banks a decade after its founding by entrepreneurs including Tom Blomfield. In the year to 31 March it reported pretax profit of £87.3m, up from £60.5m, on revenue of £1.7bn, up from £1.2bn, according to its annual report.
Monzo was last valued at £4.5bn in a secondary share sale in October 2024, with investors including Singapore’s sovereign wealth fund GIC and StepStone Group. If a deal proceeds, banking sources said it would likely be structured as a combination of cash and stock.
Monzo declined to comment. Nubank said it “does not comment on rumours or speculation”.
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