The unicorns welcome a new member to the herd.
As reported by TechCrunch, the rumors have been confirmed that TransferWise, the money transfer firm based in the United Kingdom, raised another funding round, bringing the valuation of the company to the much-vaunted $1 billion level.
The $26 million round was led by investment management firm Baillie Gifford, with participation from existing investors. Two unnamed sources told the outlet that the latest funding implies a valuation of the company at $1.1 billion — thus, the unicorn status. Previous rumors have touted a $1 billion valuation for the company since 2014. Yet, the company never commented on that implied valuation. The founder and chief executive officer of the company, Taavet Hinrikus, stated to TechCrunch: "I've never referred to our valuation as being a compliment, or flattering or important in any way.” Cumulatively, the company has raised $117 million.
The cash will be used to continue to shore up the balance sheet, the CEO said. With an eye on the top-down environment for fundraising, the executive told TechCrunch that it has been “cooling down” across the past year but that that trend amounts to “a good thing.” And looking ahead, he told TechCrunch that the firm, as it seeks to push further ahead into the U.S., is compliant with regulations in the market and looks to have its own banking license there.