Brazil’s Nubank is in early talks with British digital bank Monzo about a possible merger, with Monzo valued between £8 billion and £10 billion ($10.60 billion and $13.25 billion).
Monzo’s board is presently considering two possibilities, one of which is an acquisition by Nubank.
The alternative is a new investment round expected to value Monzo at over £8 billion, with the funds earmarked for expansion into continental Europe.
With a market capitalization of over $65.5 billion, Nubank, which has its headquarters in Sao Paulo, is listed on the New York Stock Exchange.
According to its annual report, London-based Monzo’s pretax profit for the year ending March 31 was £87.3 million, up from £60.5 million the previous year.
Revenue increased to £1.7 billion from £1.2 billion.
In October 2024, Monzo sold employee shares for £4.5 billion to investors, including StepStone Group and Singapore’s government wealth fund GIC.
