Stripe, one of the world's most valuable startups, has hired JPMorgan Chase and Goldman Sachs Group as it explores options for raising liquidity.
The company is weighing a direct listing or a private market capital raise, according to a person familiar with the matter, who asked not to be named discussing internal deliberations. The hope is that either option would happen in the next year so that veteran employees with expiring restricted stock units can cash in, the person said.
A spokeswoman for Stripe declined to comment. Representatives for JPMorgan and Goldman Sachs declined to comment. The Wall Street Journal reported the banks' appointments earlier.
The move comes after Stripe told staff late last year that it would cut more than
"We were much too optimistic about the internet economy's near-term growth in 2022 and 2023 and underestimated both the likelihood and impact of a broader slowdown," co-founders Patrick and John Collison said in November. "We grew operating costs too quickly. Buoyed by the success we're seeing in some of our new product areas, we allowed coordination costs to grow and operational inefficiencies to seep in."
Stripe and other tech firms have seen valuations drop as the growth in online spending slowed in the aftermath of the pandemic. Stripe has cut its internal valuation multiple times, most recently to $63 billion, according to
Still, the firm has also notched some wins. It just announced
— With assistance from Crystal Tse and Anne VanderMey.
