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Fintech company Nium reduces valuation by 30% in latest funding round, targets 2025 IPO

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Nium, a financial technology startup based in Amsterdam, Netherlands, has recently raised $50 million in new funding from investors, with plans to go public in the next 18 months. The fundraising round was led by a Southeast Asian sovereign wealth fund and supported by venture capital firms BOND, NewView Capital, and Tribe Capital. Despite a 30% decrease in valuation from its previous valuation of $2 billion in 2022, Nium’s CEO and founder, Prajit Nanu, remains optimistic about the company’s growth and future prospects.

Nanu stated that the fresh capital will be used to focus on mergers and acquisitions, particularly targeting other growth-stage payment firms. He attributed the lower valuation to the overall downturn in public market valuations of fintech companies, which have experienced pressure due to various macroeconomic factors such as high inflation and rising interest rates. Despite this challenge, Nanu is confident in Nium’s growth story and aims to go public in the third or fourth quarter of 2025, emphasizing that valuation is not a primary concern for him.

While some fintech companies have ventured into the cryptocurrency space, Nanu expressed a lack of interest in acquiring crypto-related companies at this time, citing a lack of merchant demand for crypto as a payment method. He views crypto infrastructure as being in its early stages and believes that Nium’s focus should remain on building relationships with traditional banks around the world. Despite the recent surge in cryptocurrency prices, particularly bitcoin, Nanu remains cautious about integrating crypto into Nium’s platform, emphasizing the need for a more established demand from merchants.

Overall, Nium’s recent funding round and valuation adjustment reflect the challenges and opportunities facing fintech companies in today’s market environment. While the company faces uncertainties related to public market fluctuations and competitive pressures, Nanu’s strategic focus on mergers and acquisitions and a potential IPO in the near future demonstrate a commitment to driving growth and innovation within the financial technology industry. As Nium continues to navigate evolving market dynamics and explore new opportunities for expansion, its ability to adapt and seize emerging trends will be key to its long-term success in the global financial services sector.

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