Trustpilot Plans a London IPO

Customer Review Platform Sees Growth

Yesterday, Trustpilot announced plans to list its shares in London when it goes public. Trustpilot is a Denmark-based customer review website which hosts over 120 million reviews for businesses in over 100 countries, with its main markets being the US and the UK. The company will sell 25% of its shares and hopes to raise $50 million. It is aiming for a market valuation of about $1.4 billion.

Trustpilot’s revenue hit $102 million last year—a 25% jump compared to the year before. The company is not yet profitable, but it reduced its losses from $22.6 million in 2019 to $12.9 million in 2020.

A Win for the London Stock Exchange

This planned offering will help London cement its role as a financial hub and a home for tech companies post-Brexit. London is competing with exchanges around the world, particularly in Amsterdam and the US, as several European tech companies look toward going public.

Moonpig, a company specializing in personalized eCards and gift deliveries, had a blockbuster IPO in London last month. Food delivery app Deliveroo is expected to launch a multibillion-dollar listing in the city in the upcoming weeks.

Trustpilot’s Post-Pandemic Future

Trustpilot’s popularity has surged during the pandemic. The ecommerce boom has caused both businesses and consumers to rely on the platform more heavily.

Trustpilot uses a “freemium” model, meaning that businesses can use some of its services at no cost, but can upgrade for a monthly fee. Nearly 20,000 businesses pay for these services, like rights to display Trustpilot’s ratings and tools for monitoring customer feedback. Analysts expect that many online shopping habits formed during the pandemic will be here to stay, so Trustpilot and other companies which support the ecommerce industry could be poised for growth.

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.
SOSS21030203