London, 5 October 2026 — EBM Newsdesk Analysis — By Amr Shabana
On Wednesday, 30 September, Nu Holdings, the New York-listed parent of Brazil’s Nubank, said in a stock exchange filing that it is “not pursuing a transaction with Monzo.” The statement came days after reports of talks over a deal worth £8bn to £10bn knocked about a tenth off Nubank’s share price. The shares fell around 10% on Monday 28 September, wiping roughly $6bn from the company’s market value, then jumped after the denial. Nubank’s own investors decided the deal was too expensive before the two sides had even agreed terms.
For Britain, the collapse is good news. The sale would have taken one of the UK’s best-known fintechs into foreign ownership, just as London is trying to persuade its growth companies to stay. With Nubank out, attention swings back to a London listing, or a minority stake sale to private equity. For Europe’s fintech sector more broadly, it is a reminder that public-market investors are in no mood to pay huge premiums for growth.
Why Investors Balked
Analysts pointed to several worries. The price was more than double the £4.5bn Monzo was valued at in an employee share sale in 2024. Nubank would probably have paid partly in its own shares, diluting existing investors. And Nubank has historically grown by building its own business, not by buying others.
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SubscribeThe numbers didn’t help. Monzo made adjusted pre-tax profit of £172.6m last year on revenue of £1.7bn, small next to a £10bn price tag. The top of the range would have been worth about a fifth of Nubank’s entire market value.
Nubank says it will stay focused on deepening its position in Brazil and growing in Mexico, Colombia and the US. In other words, its shareholders want it to stick to what it knows.
What Monzo Lost, and Didn’t
Monzo has 16 million customers and an Irish banking licence that gives it access to the EU. A Nubank deal would have handed it a well-funded owner to accelerate that Europe-first pivot. It would also have given Nubank a European base to take on Revolut, which is now expanding into Latin America.
But Monzo keeps its options. Alongside the Nubank talks, it was reportedly negotiating with private equity firms over a minority stake. A London float is back on the table, and ministers and the London Stock Exchange will push hard for it.
What It Means for London
The episode shows both sides of Britain’s problem with growth companies. On one hand, foreign buyers will pay more than London does. On the other, public markets everywhere are cautious. Global borrowing costs are rising after the bond sell-off, and investors are punishing big, expensive bets.
That gives London a chance. Revolut is considering a £60bn London float alongside a possible dual listing in New York. If Monzo lists in London as well, two of Britain’s biggest fintechs could anchor a revival of the city’s market.
The Bottom Line
Nubank’s shareholders did London a favour. They vetoed a deal that would have taken Monzo abroad at the moment it was ready to grow up. Monzo is profitable, growing and now free of a buyer. The question is whether London can offer it a valuation close to what a foreign buyer was willing to discuss. If it can’t, the next suitor may not be scared off so easily.
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