Selling shares in Monzo from crowdfunding round?


(Andy) #283

Reposting this valuable information just incase!


(Mark) #284

Had a look at them, while they are free there is no way to predict what price you’ll pay for the shares when they are purchased. While in the long run (over 5 years) this matters little, there is the possibility for the price to fluctuate widely - think Tesla the day of Musk’s recent tweet.

I prefer to set the limit price with real time pricing.

I do hear etoro is good for people who want to copy the trades of others, but they are quite expensive unless you are one of the ‘influencers’ - and then it seems like a pyramid scheme. The idea of getting a % of AUM of the people who are following you is madness


(James T) #285

Hi all,

Has anyone sold shares recently? There seems to be a few conflicting views on how to do this/how people have done this?

Just looking for a straight on answer from someone who has definitely been through this process.

Is it Crowdcube I contact first? Do I need to contact Monzo or will crowdcube?

How long does the whole process take?

Thanks


(Sajid Sabir) #288

Let me know if you’re still selling the share, offering £3 per share, message me directly s4j@outlook.com


#289

Three million per share?! :open_mouth:


(Is Santa here yet?) #290

I thought I was seeing things :joy:


#292

Are you buying for £3 a share?


(Sacha) #293

Good luck getting a seller at £3/share, the mooted valuations would lead to the shares being worth many times that later this year.


(Noel Edmonds Beard Sculptor ) #294

I’m never selling my shares, I’m riding this pony till Natwest buy Monzo :eyes:


#295

You mean Monzo buy NatWest?


#296

No. Just no. :wink:


#297

I would be surprised if any one sold at £3.00 just before a crowdfund round that would value Monzo at £1 billion

The last raise was at £2.35 valuing Monzo at 380 million

I think the price will probably be between £5-£7

I would happily sell to you at a discount once the new valuation has been announced

I have 287 available and have already contacted Crowdcube - anyone interested please pm ASAP so I can contact you upon revaluation


#298

The “as much as $1.5bn” valuation was a speculative amount from the FT which was later removed from their article possibly at Monzo’s request.

Tom previously said a UK bank with around a million customers and at around profitability is worth around £3bn, so not sure why he’d be raising at £1bn?

£3bn pre-money values them at £28.50.

Just throwing it out there as a possibility :wink:


(Sacha) #299

Metro Bank (which has been used as a comparison) currently has a market capitalisation of £2.7bn. There are pros and cons against that comparison.

Pros (vs Monzo)

  • Deposits of £13bn at H1 2018, my gut feel is Monzo won’t have an average customer balance of £1,000 or anywhere close.
  • 1.3m customers.
  • Existing suite of revenue generating products (credit card, loans, mortgages, business accounts, safety deposit boxes).
  • Profitable (profits for Qtr to 31 Mar 18 were £10m).

Cons (vs Monzo)

  • Higher cost base (I’ll ignore the branch costs as they say that safety deposit boxes cover most of this cost). Despite this, they will have much higher staff costs as the long opening hours are their USP.
  • Not particularly differentiated from the 10 or so other high street banks. Monzo only really has Starling as a competitor in the same market segment, at least at present.
  • No likelihood of overseas expansion.

My gut feel is that once Monzo reaches 1m customers, turns profitable and perhaps has over 500,000 customers using it as it’s main bank then it will look far better placed than Metro.


#300

I think a 3billion valuation at this stage would be laughed at by the markets.

Sacha’s post gives the reasons very clearly


#301

Agree with all the pros and cons above.

Investors factor in the foreseeable future as well as the present though. To say ‘Metro is currently a bank with 1.3m and Monzo is currently a bank with 0.95m users so Metro should be worth more’ is ignoring the foreseeable future. Monzo is travelling at 100mph and will overtake Metro who are creeping along on the hard shoulder in literally a few months time… December or January? It was only 21 months ago when Vernon Hill said app-only banks won’t succeed.

In less than 12 months Monzo are extremely likely to have 3m+ users vs Metro with around 1.5m at their current growth rates. In 2,3,4 years Monzo will likely be many times bigger than Metro if the growth remains the same for both. So taking into account the foreseeable future which one would you value higher?

Personally I’d heavily discount beyond a year as you never know what can happen. I’d value Monzo at about £3bn looking ahead. I wouldn’t be surprised if they raised at around £2bn but would be quite surprised it is as low as speculated ($1.5bn=£1.2bn).

We will just have to wait and see what happens. If it is £1.2bn I’ll certainly be an investor.


( related to Monzo CEO, Investor in Monzo ) #302

“Tom previously said a UK bank with around a million customers and at around profitability is worth around £3bn”

I remember seeing that interview and from memory it was vaguely comparing Metros customer numbers with Metros market valuation and converting it to Monzos customer numbers for a hypothetical valuation of Monzo - Metro offers a lot more money making products including Mortgages, and again from memory hold far more cash / savings deposits than Monzo - I think it was a bit of an off the cuff comment rather than a serious valuation.

I would be very pleased at a £1bn valuation for a company that is around 3 years old and isn’t making any money yet - around £7- £8 / share for those that bought in the first crowd fund :slight_smile: - very happy - would I sell yet - no - my guess would be £3bn valuation at IPO around £21/ share , in around 3 years time - or bust :slight_smile:


#303

I’m interested! :raised_hand:t2:


#304

First Direct?


(David Allardice) #305

Does that count as online only? Started as a phone bank, and you can still call them to pay bills or transfer money (i.e. not just for customer service)