Stripe, a payments processing company, has raised over $6.5 billion in funding at a $50 billion valuation, a decrease of approximately 47% from its previous valuation of $95 billion in 2021.
According to a press release, the funds will not be used for business operations but to provide liquidity to current and former employees and to address tax obligations related to equity awards.
The investors for the funding round included both existing shareholders such as Andreessen Horowitz, Baillie Gifford, Founders Fund, General Catalyst, MSD Partners, and Thrive Capital, as well as new investors including GIC, Goldman Sachs Asset and Wealth Management, and Temasek.
The new funding round was arranged by Goldman Sachs as the sole placement agent, with JP Morgan serving as the financial advisor. In November 2022, Stripe had announced layoffs of over 1,000 jobs, or 14% of its workforce, citing macroeconomic factors such as inflation, higher energy prices, and increased interest rates.