An undated handout picture from the NerdWallet mobile app. NerdWallet / Handout via REUTERS
May 18, 2021
By Anirban Sen and David French
(Reuters) – NerdWallet Inc, the owner of the consumer financial advice website of the same name, has submitted confidential documents to U.S. regulators for an initial public offering (IPO), according to those familiar with the matter on Friday.
NerdWallet has hired a group of investment banks led by Morgan Stanley to arrange the IPO and intends to go public before the end of the year. The San Francisco-based company could aim for a valuation of up to $ 5 billion, two of the sources added.
The sources warned that the IPO timing and valuation are subject to market conditions and asked not to be identified as the preparations are confidential.
NerdWallet and Morgan Stanley declined to comment.
A number of high-profile financial technology companies like Affirm Holdings Inc have gone public in the past six months, while others like online brokerage Robinhood Markets Inc, Brazilian Nubank and financial services startup Chime are gearing up.
Founded in 2009 by former hedge fund managers Tim Chen and Jake Gibson, a former trader at JPMorgan Chase, NerdWallet provides financial advice to users on credit cards, loans, mortgages and other financial products. The company has more than 100 million users of its personal finance website and mobile app each year, and its investors include venture capital firm IVF and SVB Financial Group.
NerdWallet has grown rapidly over the past year through acquisitions of companies including UK-based Know Your Money and New York City-based Fundera, which operates a marketplace for small businesses looking for credit.
In December, NerdWallet hired former eBay Inc. chief executive Lauren St. Clair as chief financial officer.
(Reporting by Anirban Sen in Bengaluru and David French in New York; editing by Aurora Ellis)
This article originally appeared on www.oann.com