Checkout.com Announces $12 Billion Valuation
Fintech firm Checkout.com revealed on Friday that it has reached a $12 billion valuation as part of an employee stock buyback program. This milestone underscores the company’s significant position in the competitive payments landscape.Valuation History and Market Context
While $12 billion is a noteworthy valuation—placing Checkout.com among the few decacorns globally—the company’s valuation trajectory has seen considerable fluctuations. In 2022, during its $1 billion Series D funding round, Checkout.com was valued at an impressive $40 billion. However, the subsequent downturn in the venture capital market forced internal valuation reductions to $11 billion by the end of 2022 and further down to $9.35 billion in 2023. The current $12 billion valuation reflects a near 30% increase from the previous year, signaling a recovery amid a challenging market environment.Valuation Driven by Employee Stock Buyback, Not External Investment
Unlike traditional funding rounds where external investors inject capital, Checkout.com’s latest valuation stems from an employee stock buyback program. The company itself is the sole purchaser of employee shares, with no participation from outside investors. This valuation is derived from an independent 409A assessment conducted by a third party, which provides an objective measure distinct from a direct investor endorsement.Comparison with Competitor Stripe
Checkout.com’s valuation adjustments mirror trends seen in its main rival, Stripe. Stripe’s valuation plummeted from $95 billion in 2021 to $50 billion in 2023 amid the venture capital bear market. However, Stripe has since rebounded to $91.5 billion as of February 2025, aided by employee tender offers with external investor involvement. Industry reports suggest Stripe may pursue a new tender offer at a valuation exceeding $106 billion. Despite competing against one of the highest-valued startups globally, Checkout.com continues to demonstrate robust business growth.Operational Highlights and Profitability Outlook
Headquartered in London, Checkout.com serves major e-commerce clients including eBay and Pinterest. The company processes approximately $1 billion in e-commerce payments daily and has expanded its workforce by 300 employees in 2025, now totaling 2,000 staff across 19 global offices. The company projects to begin profitability by the end of 2024, with expectations for sustained full-year profitability in 2025.Employee Stock Buyback Program Details
Checkout.com confirmed that employees with at least one year of tenure are eligible to participate in the buyback program. However, the company has not disclosed the total expenditure or the number of shares repurchased under this initiative.FinOracleAI — Market View
Checkout.com’s revised $12 billion valuation through an internal buyback program reflects cautious optimism amid a volatile venture capital environment. While lacking fresh external capital inflows, the independent 409A valuation provides a credible benchmark of the company’s market standing.- Opportunities: Continued path to profitability strengthens financial stability and investor confidence.
- Opportunities: Growing daily payment volume and expanding global workforce support scalable growth.
- Risks: Absence of external investor participation in buyback may limit validation from the broader market.
- Risks: Competitive pressure from Stripe’s significant market rebound could challenge Checkout.com’s market share expansion.
Impact: Neutral to positive — Checkout.com’s valuation recovery signals resilience, but sustained growth and external investor engagement will be critical to maintaining momentum.
