Wise PLC announced plans to apply for admission on the London Stock Exchange and has shared its full-year results for the period to 31 March.
It would be the first direct listing of a technology company which, compared to a traditional IPO, means no new shares are created and the existing stock will be directly offered to public investors with no intermediary to drum up interest.
READ: Wise’s London listing plans could be unveiled as soon as this week
The shares will simply receive a reference price, an estimated value from the stock exchange, rather than a fixed IPO price.
The startup plans to have a dual-class share structure to “support Wise's focus on its mission as it transitions into the public markets”.
Class B shares hold nine votes per share, are strictly non-transferable and, among other voting right cancellation events, expire on the fifth anniversary of any listing.
All of Wise's shareholders and holders of vested options as at 23 May 2021 are entitled to elect to receive 50% of the class A shareholding in the company with additional corresponding class B shares on a 1:1 basis.
Kristo Kärmann, chief executive and co-founder, is entitled to elect to receive 100% of his class A shareholding with additional corresponding class B shares on a 1:1 basis.
The voting rights attaching to the class B shares are capped so shareholders can’t cast more than one vote less than 35% of the eligible votes, though for Kärmann it will be 50% unless he stops being CEO.
The international payments group will also establish a customer shareholder programme, OwnWise, which opens for pre-applications from UK eligible customers on Thursday.
Up to 100,000 customers can buy shares and, if they hold them for 12 months, they will receive bonus shares representing 5% of the value of their existing stake, for a maximum value of £100.
The fintech unicorn is also tempting potential retail investors with a chance to win a trip to its ‘Mission Days; company conference, a ‘limited edition Wise swag’ and the option to join a community offering quarterly sessions and early access to new features and products.
In the year to 31 March, Wise moved £54.4bn across borders for 6mln active customers, representing yearly growth of 4% between 2019 and 2021.
Revenues climbed 54% over the two years to £421mln, with stable gross margins at 62%. Profit before tax more than doubled to £41mln compared to the prior year.
Looking ahead, the company expects revenue growth to be 20-25% with adjusted underlying margins above 20%.