Disclaimer: CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although we are not specifically prevented from dealing before providing this material, we do not seek to take advantage of the material prior to its dissemination.
Starling Bank IPO
Everything you need to know
There’s speculation that British fintech company Starling Bank is looking to have an initial public offering (IPO) take place within the next couple of years. Learn more about the company’s potential IPO date, valuation, and recent financial reports, as well as how to get involved with Starling’s upcoming listing.
2022/2023
Starling going public
£1.1bn+
Starling's valuation
600% YoY
Starling’s revenue increase
What does the company offer?
Starling Bank is a licensed and regulated digital challenger bank founded in 2014 with headquarters in the City of London. The company offers personal, business and joint accounts, alongside a child card, teen account option, and a variety of lending products. It has additional offices in Southampton, Cardiff, and Dublin.
Through its Banking-as-a-Service (BaaS) model, Starling also offers B2B banking and payments services using its branded technology platform. Its Marketplace in-app also offers customers access to third-party financial services. The company has more than 2.5 million customers as of 2022.
When is Starling Bank’s IPO date?
An official date hasn’t been set for Starling, but the IPO is expected to take place at some point in 2022 or 2023. As it’s a London-based and founded company, it’s more than likely that the company will float on the London Stock Exchange (LSE), which has seen the debuts of other fintech businesses such as Wise, Darktrace and Trustpilot in recent years.
To stay up to date with current and future IPOs, use the sign-up box below to register your interest, and we’ll send you an email when Starling Bank has listed on its chosen exchange.
What is Starling Bank’s valuation?
Following an investment round led by Fidelity in 2021, Starling Bank is valued at over £1.1bn, according to CNBC. The company raised £272m in March, giving it “unicorn” status in the UK.
In comparison with large-cap banking giants like HSBC (£110bn), Lloyds (£36bn), and NatWest (£27bn), this valuation may seem miniscule, but the company is determined that it will continue to grow and perhaps currently targets a more niche sector. As of 2022, it accounts for 5% of the UK’s small business banking market, with 300,000 small business clients.
What will Starling Bank’s share price be?
An official share price hasn’t yet been revealed. As with most IPOs, this specific information will be revealed closer to the IPO date, so check back here for updates.
How to trade on the IPO
1. Open an account
Choose whether you want to spread bet or trade CFDs on our derivative share products. In the meantime, you could practise trading on Starling's competitors with virtual funds on a demo account.
2. Register your interest
By entering your email into the sign-up box above, we will notify you when Starling Bank has listed on its chosen exchange.
3. Pick a strategy
Choose whether you want to go long (buy) or go short (sell). Please note that some trading restrictions may apply on initial trading.
4. Manage your risk
Learn how to apply stop-loss and take-profit orders on your positions to minimise capital loss as much as possible.
Does the company have strong financials?
According to its latest financial report in July 2021, Starling Bank announced revenues of £97.6m, a 600% uplift from just £14m in the previous fiscal year’s results. Losses after tax were also cut in half, down to £23.3m from £52.1m the previous year. The company attributed this to the amount of lending on its books, which soared to £2.2bn from a lower base.
The bank became profitable for the first time in October 2020 and has made a profit each month since then. In the second quarter of 2021, sales reached £42.8m, giving it an annualised revenue run rate of more than £170m. It also saw customer accounts double and deposits grow by 500%.
Please note that past performance is not a reliable indicator of future results.
Why may investors be interested in Starling Bank?
Are there any drawbacks?
Discover Starling Bank’s competitors
Wise
- All clients
88% of CMC client accounts with open positions on Wise expect the price to rise.
Nu Holdings
- All clients
100% of CMC client accounts with open positions on Nu Holdings expect the price to rise.
PayPal
- All clients
97% of CMC client accounts with open positions on PayPal expect the price to rise.
SoFi Technologies
- All clients
97% of CMC client accounts with open positions on SoFi expect the price to rise.
Client sentiment is provided by CMC Markets for general information only, is historical in nature and is not intended to provide any form of trading or investment advice – it must not form the basis of your trading or investment decisions.
FAQS
What other fintech companies are expecting an IPO?
Other British neo-banks speculated to be having an IPO within the next year include Monzo and Revolut, as well as US digital payments company Stripe and Swedish buy-now-pay-later leader Klarna. See a full list of potential upcoming IPOs.
Is Starling Bank a real bank?
Yes, Starling Bank is a licensed bank and is regulated by the Financial Conduct Authority (FCA) in the UK. Other examples of banks you can trade on with us include Barclays [BARC], Lloyds [LLOY], and HSBC [HSBA].
