Plaid Is Said Close to Financing at About $13 Billion Valuation

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Financial-technology firm Plaid Inc. is close to a new round of funding at a valuation of about $13 billion, almost three months after scrapping its sale to Visa Inc., according to people familiar with the matter.

The funding round will be led by Altimeter Capital, said the people, who asked not to be identified because the information was private.

Many of its existing investors are expected to participate in the latest round that could raise hundreds of millions of dollars, the people said. Investors with significant stakes include NEA, Spark Capital, Index Ventures and Kleiner Perkins.

Officials at Plaid and Altimeter didn’t immediately respond to a request for comment.

Financial technology companies have been one of the hottest segments for mergers and initial public offerings, a trend that was accelerated by the growth of online commerce during the coronavirus pandemic.

San Francisco-based Plaid connects popular financial apps like Venmo to customers’ data in the established banking system. Plaid has more than 4,000 customers including Microsoft Corp. and Alphabet Inc.’s Google, and has attracted top-tier financial investors such as Goldman Sachs Group Inc.

Plaid had reached a $5.3 billion agreement to be acquired by Visa but that deal was abandoned in January after the U.S. Justice Department sued to block it on antitrust grounds.

A Plaid executive said that month that the company planned to focus on building its European business. Keith Grose, head of Plaid’s international business, said the company was planning to nearly double its size of those operations.

©2021 Bloomberg L.P.

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