SumUp’s Valuation Plunges by 52% in Inside Sales as Fintech Market Takes a Hit

SumUp, a European payment technology company, has seen a significant drop in its valuation as the fintech market experiences setbacks. The company is currently conducting inside sales of its shares, which could result in a 52% decrease in valuation from its previous value of $8.5 billion. Groupon, a publicly traded company, disclosed in an SEC filing that it will sell 9.4% of its 2.3% interest in SumUp, receiving €8.4 million ($8.9 million) from the sale. However, the specific class of shares being sold is unknown, leading to uncertainty about SumUp’s total valuation. Other investors in SumUp are also participating in the transaction on the same terms. The recent decline in technology industry funding has affected the fintech market, with total funding in the UK dropping by 77% in Q3 compared to the same period last year. Other private fintech companies, such as Stripe and Checkout.com, have also seen valuation reductions. Groupon’s stock took a hit in response to the news of SumUp’s depreciated share sale.