Looking to buy Monzo shares


#64

Still interested. Anyone willing to sell now that they announced the new raise officially and we know the price per share?

Keep asking but I will most probably will miss the next crowdfunding round since I can’t open a Monzo account myself (I am not a resident of UK) and I believe the campaign will be overfunding by the time they make it public.


(yatin) #65

Current price per share is £7.7145


#66

That price is still unconfirmed. £7.71 is what their employee share options page says. That page is riddled with errors and strangeness, so wouldn’t trust it myself.

£1085m post money value divided by approx 115-120m shares in issue is not £7.71, more like £9-10.

Please could someone at Monzo clarify? @tristan ?


(Dan) #67

I actually think the calculator is accurate.

I’ve been on that website before and it’s always had the exact price at the time.

It says CSOP as well. I’m 99% sure that for
a CSOP, HMRC only allow you so set the exercise price at the current price.

Edit: the maths adds up if that’s premoney, maybe whilst the deal is closing that’s how they’re valued and afterwards it’ll be more like £9 post money?


(chrisdalziel) #68

The latest Companies House filings also confirm that the latest set of issued shares were bought at the £7.7145 figure so I think it’s accurate too.


#69

How often does a crowdfunding round come by :face_with_monocle:? Or maybe more appropriate - when was the last one? New to all this, but I’d be keen to get involved having been a Monzo user for some time now. I’d be keen to invest before it becomes too late/too costly! :slightly_smiling_face:


#70

I think there was one last November 2017 but it might have only been open to existing holders.

The last one open to all was I think early 2017, maybe feb/mar time? So it has been a while - my advice is alway if you believe there is still growth then go for it, at £1 billion I think there is still considerable growth potentials.


#71

I’ll just have to keep an eye out + an ear to the ground.


(Danny) #72

You’re right, that being the case the messaging around the raise was wrong. Articles such as this one stated the pre-money valuation was £1bn but actually it was £826m.

Still impressive, but not quite a GBP unicorn.


(chrisdalziel) #73

Yeah, you may well be right. Unfortunately it’s not massively transparent as there are often employees options that don’t need to be explicitly disclosed so those factors may affect the fully diluted valuation etc.

Would be great if someone from Monzo could confirm the details of the raise but I’m hoping more information might be disclosed at the crowdfunding raise.


(Tristan Thomas) #74

Pre-money valuation was £1bn. Therefore current post-money valuation is £1,085,000. Share price is £7.71 ish :slight_smile:

What’s the confusion?


(Danny) #75

The confusion is that the statement of capital shows 118,127,693 shares, multiply that by £7.7145 and you get £911,296,087.

But I think @chrisdalziel has sussed it that we need to include unvested employee shares, and they don’t show on the statement of capital. Right?


#76

For £1.085m cap to equal £7.7145 a share it means there are 140,644,241 shares. Where are these extra 22million shares coming from? Do the staff have £170million of options?


#77

#78

Did anyone manage to work out how this works out? In the prospectus it says there are just over 118m shares in issue. I didn’t spot a section for unvested options?


(Danny) #79

No I looked for it too, seems we’re the only two people bothered by it :stuck_out_tongue_closed_eyes:


#80

I asked again because @MS308 asked me, so there’s 3 in the club!


(chrisdalziel) #81

Make that 4!

I do have a theory though looking at the Companies House documentation (https://beta.companieshouse.gov.uk/company/09446231/filing-history)

As of 22 August 2018, the amount of shares issued was 107m. On the 29 October, the Board authorised an issue of up to 36m of additional shares (£3.6127166 in shares at their nominal value). That authorisation is the first paragraph of the latest resolution posted at Companies House.

That amounts to 143m of authorised shares so, although only 118m of those have been issued as of today, the fully diluted value would be 143m x £7.7145; a number in excess of £1.1bn.

Not a very satisfying answer as the numbers don’t stack up exactly but it’s the best I got!


#82

Thanks for the theory! Still baffled here. Why would they create an extra 25m shares to not issue anyone? That’s £175m worth.
@paul @tom @anyone?


We’re crowdfunding up to £20,000,000 and we’d love you to be part of it!
(chrisdalziel) #83

No insight on this at all but I suspect it’s for capital planning purposes in some way or other and related to recruitment.

At least 2.8m of those will be earmarked for the crowdfunding. There are another 3.1m in shares that are yet to vest under the employee options schemes (see pages 206/207 of the prospectus).

They’re going to continue recruiting so the number of shares yet to vest under the employee scheme will increase. They would want some cushion in the issued vs. authorised shares so they wouldn’t need to go back to the Board on a regular basis to increase the amount of authorised shares.

The extra authorised shares would also allow them to issue the shares in a short space of time if they needed extra cash.