Chime IPO: Valuation Cut to $11B After $25B Peak

Chime IPO Price Range Announced

Chime, anticipating a significant initial public offering (IPO) in 2025, has announced a share price range of $24 to $26 on Monday.

This valuation potentially reaches up to $11.2 billion. At the midpoint of the range, the company is projected to generate $800 million, with proceeds distributed to both the company itself and existing investors.

Comparison to Other 2025 IPOs

Despite a generally subdued IPO market, Chime’s offering is noteworthy. CoreWeave currently leads 2025 IPOs, having raised $1.5 billion with a $23 billion valuation, although their initial expectations were higher.

Financial Performance Highlights

Chime’s IPO is attracting attention due to its demonstrated revenue growth and decreasing operational costs. The company reported $1.3 billion in revenue for 2023.

Revenue increased to $1.7 billion in 2024, with over $518 million already secured in the first quarter of 2025. Furthermore, losses have been significantly reduced, falling from $203 million in 2023 to $25 million in 2024.

Valuation Considerations

A potential drawback is that Chime’s most recent private valuation, estimated by PitchBook, was $25 billion – exceeding the current IPO target. However, market demand can quickly adjust this.

Strong investor interest could drive the IPO price above the initial range, and subsequent trading activity could further elevate the company’s valuation.

Investor Confidence

Indications of internal confidence are apparent. Aside from Cathay Innovation, Chime’s major shareholders are currently not planning to sell shares in the IPO, according to recent filings.

Key investors maintaining their stakes include DST Global (led by Yuri Milner), Crosslink Capital (Michael Stark), and Access Industries (Len Blavatnik). General Atlantic, Menlo Ventures (with board member Shawn Carolan), and Iconiq are also holding their positions.