Online platforms – connecting buyers and sellers, and payments flows, across a variety of use cases and verticals – dominated planned announcements and debuts on public exchanges this past week. That brought the payments-related announcements to 28 and the shopping segment to 15, year to date.
Remitly, which operates a digital money transfer platform/mobile service, filed its documents with the SEC to go public. The company has detailed a cross-border payments opportunity worth in the trillions of dollars annually; the digital transformation of international money movement represents an opportune space.
The cross-border remittance market saw $1.5 trillion in total migrant remittance inflow volume in 2020, and as Remitly said in the filing, it generates $40 billion in transaction fees worldwide. Within the filing, the company said that customers completed 31 million remittance transactions. Send volume was $16.1 billion for the 12 months that ended in June 2021, which represents about 1% of the total addressable market. The company’s year-over-year growth rate of more than 103% brought the top line to $257 million in the year ending December 2020. Loss from operations narrowed to $29.1 million from $50.6 million in 2019.
In evidence of another platform gunning to go public, Toast, focused on the restaurant industry, has filed for an estimated $100 million initial public offering (IPO) that would imply a rough valuation of $20 billion. The company detailed its own prospects in an SEC filing.
Toast said in its commentary that at the end of the latest quarter, the company had approximately 48,000 restaurant locations spanning about 29,000 customers, processing over $38 billion of gross payment volume in the trailing 12 months.
And in further evidence that the eCommerce/platform model is upending the way consumers buy and sell even the most big-ticket items, in recent days, Cazoo, the U.K.-based online platform focused on buying and selling cars, went public on the NYSE. Against that backdrop, the company maintains that the market, valued at about 500 billion GBP (about $689 billion USD) across the EU and the U.K., is ripe for digital disruption. The company’s revenue run rate, according to the filing, is 550 million GBP (about $689 million).
Data as of May 2021, with a run rate since launch at December 2019, shows that the company has sold more than 35,000 vehicles (as detailed in September), has about 3,000 vehicles available and has more than 6,500 subscribers.
These filings come in proximity to IPO announcements from firms like Allbirds, which is focused on sustainable shoewear and is based on a direct-to-consumer (D2C) model. And Freshworks, focused on B2B activities and helping client firms manage their points of customer contact, among other offerings, detailed double-digit growth in its own filings.
The traditional IPOs, as listed above, are not to say that SPACs have been completely left out in the cold. The real estate platform Offerpad merged with Supernova Partners Acquisition Company (SPAC) in order to take Offerpad public, according to a press release. Offerpad specializes in tech-enabled solutions like iBuying in order to offer customers more convenience and control.
Blockchain Coinvestors, which is focused on the blockchain space, filed with the SEC to raise as much as $250 million. In its SEC filing, the company said that “blockchain technology is revolutionizing several industries through digitalization” and noted that “an additional ecosystem supporting blockchain infrastructure has emerged, including wallets, exchanges, custodians, settlement systems and transfer agents. Many private blockchain companies would benefit from public market status, including greater access to lower-cost capital funding that can accelerate achieving sufficient scale.”