Stripe's Multibillion-Dollar Fundraising is Available to Goldman Sachs Clients

Goldman Sachs Group Inc. is providing access to Stripe Inc.'s fundraising round to its wealthiest clients. Stripe is a global leader in payments and is looking to raise billions in part to settle a large tax burden.

‍

According to those with knowledge of the situation, the bank is establishing a unique vehicle available to its privatewealth clients for investing in just one asset: Stripe's $4 billion fundraise. 

‍

Separately, Goldman has been tasked with helping JPMorgan Chase & Co. and Stripe secure money from a variety of investors. Stripe needs the funds to cover a future tax liability related with the restricted stock units that veteran employees will be cashing out in the upcoming year. In January, the business invited the banks in as it debated whether to pursue a direct listing or a separate capital raise.

‍

According to the persons, who requested anonymity because the details are private, it is unknown what structure Goldman is providing its wealthy clients and how much money it will obtain from them.

‍

The transaction is similar to one that Goldman led for Uber Technologies Inc. in 2015, when the investment bank placed the convertible bond of the ride-hailing firm with its wealth management customers.

‍

The tactic enables companies to remain private for a longer period of time while enhancing services for high-net-worth clientele by introducing them to some of the hottest technological names before they go public.

‍

Goldman and Stripe representatives chose not to comment.

‍

A fresh round of funding has been discussed by Stripe, which has offices in both San Francisco and Dublin. The business, run by CEO Patrick Collison, has assured prospective investors that it will make money this year and is on track to handle $1 trillion in payments.

‍

Investors such as General Catalyst Partners, Founders Fund Management, and Andreessen Horowitz have declared that they will take part in the most recent round, while Joshua Kushner's venture capital company, Thrive Capital, has announced that it will invest $1 billion in the business. Before to the financial infusion, the valuation under discussion is approximately $55 billion, a significant decrease from the $95 billion Stripe received when it raised $600 million from investors in 2021.