New updates have been reported about Chime (PC:CHIMQ)
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Digital consumer bank Chime has officially filed its S-1 paperwork, signaling its move toward an initial public offering (IPO). Although the S-1 documents leave several details unspecified, such as the number of shares to be sold and their pricing, Chime is potentially aiming to raise $1 billion, according to Renaissance Capital. The IPO could involve significant insider sales, with major investors like DST Global, Crosslink Capital, and Access Industries potentially participating. Chime has raised $2.65 billion as a private entity, with its last valuation in 2021 reaching $25 billion.
Chime’s financial performance is drawing attention, with the company reporting $1.67 billion in revenue for 2024 and reducing losses to $25 million from $203 million in 2023. The first quarter of 2025 alone saw $519 million in revenue, positioning Chime on a trajectory to achieve $2 billion in revenue for the year and approach profitability. The company, which offers consumer checking, savings, debit, and credit cards, boasts 8.6 million active users. Chime’s strategic partnerships, such as its $33 million sponsorship deal with the Dallas Mavericks, have bolstered its brand visibility. With prominent investment banks like Morgan Stanley, Goldman Sachs, and JP Morgan involved, Chime is gearing up for what it anticipates to be a significant IPO.