Fintech Checkout.com's valuation falls to $12 billion

In a significant move, Checkout.com, the London-based fintech unicorn, has announced a new share buyback program aimed at providing employees with an opportunity to liquidate their shares. This initiative comes as the company reassesses its internal valuation, which has now fallen to $12 billion. This new valuation represents a stark decline from the $40 billion figure achieved during a $1 billion funding round in 2022. Reports indicate that the fintech company had previously adjusted its internal valuation down to $11 billion later that same year. Competing with other prominent payment service providers like Stripe, Adyen, and PayPal, Checkout.com processes substantial transaction volumes annually for major clients including Coinbase, Pizza Hut, and H&M. The share buyback initiative reflects a growing trend among startups looking to provide liquidity to employees and early investors, especially as many tech firms remain private longer amidst a downturn in initial public offerings. Checkout.com is optimistic about its future, projecting to surpass a core net revenue growth target of 30% this year, alongside an anticipated $300 billion in annual e-commerce payment volume. CEO and founder Guillaume Pousaz emphasized the company's commitment to growth and innovation, underscoring the influence of AI and the emerging landscape of agentic commerce. This trend of allowing employees to sell shares has been echoed by several other fintech companies in recent months, including Stripe and Revolut, both of which have initiated similar offers at higher valuations.