Fintechs to the rescue.
That’s one way of describing the sudden burst of activity in the IPO market. Within the span of a few hours on Tuesday, eToro priced its IPO above its initial range and Chime filed an S-1, setting the stage for its own listing.
Chime, a digital banking startup founded in 2012, revealed that its revenue for fiscal year 2024 was $1.67 billion, up from $1.28 billion a year prior. The company’s net loss of $25 million is down substantially from $203 million in 2023, and $470 million in 2022.
The company was cofounded by current CEO Chris Britt and Ryan King, and has for years been considered among the leading fintech unicorns gearing up for an IPO. As if to prove that it’s part of a larger trend rather than being a one-off (and no doubt to claim a juicier multiple), the company insisted in its S-1 that “Chime is a technology company, not a bank.”
Whatever label you choose, it seems that this crop of fintech darlings, weathered by the post-ZIRP (zero-interest-rate policy) era, are prepared to step forward as public companies. eToro, a Robinhood competitor founded in 2007 and based in Israel, begins trading on the Nasdaq today under the symbol ETOR. The company priced its IPO Tuesday at $52 a share, giving it a $4.2 billion valuation.
So, what’s going on? Are fintechs the brave vanguard of the long-awaited IPO boom?
As always, it’s complicated. eToro’s IPO filing comes after a shelved SPAC attempt, and it remains to be seen how the company’s public offering will be received (though by the time you read this, we may very well know). Then there’s Klarna: After filing to go public in March with much fanfare, the company pulled back wildly on its IPO plans, postponing until markets stabilize.
And that’s the crux of the issue: Going public in a volatile market still jittery with tariffs is tough. Nevertheless, we just might be headed toward a fintech summer.
These long-simmering, scaled fintechs—battle-tested by COVID, rising interest rates, and regulatory headwinds—may finally be getting their moment in the sun.
See you tomorrow,
Allie Garfinkle
X: @agarfinks
Email: alexandra.garfinkle@fortune.com
Submit a deal for the Term Sheet newsletter here.
Nina Ajemian curated the deals section of today’s newsletter. Subscribe here.
VENTURE DEALS
- Bestow, a Dallas-based life insurance technology company, raised $120 million in Series D funding. Growth Equity at Goldman Sachs Alternatives and Smith Point Capital led the round and were joined by Decades Holdings and AllianceBernstein.
- Wonderskin, a London-based beauty company, raised $50 million in Series A funding from Insight Partners.
- Optimal Dynamics, a New York City-based decision automation platform for trucking companies, raised $40 million in Series C funding. Koch Disruptive Technologies led the round and was joined by FM Capital.
- Forethought, a San Francisco-based agentic AI customer support platform, raised $25 million in Series D funding. Blue Cloud Ventures led the round and was joined by May Habib, Scott Wu, Karan Goel, and others.
- Flock, a Denver-based retirement solution for real estate owners, raised $20 million in Series B funding. Renegade Partners led the round and was joined by existing investors a16z, Primary Venture Partners, Susa Ventures, 1Sharpe Ventures, and others.
- Theom, a San Jose-based AI-powered data operations center platform, raised $20 million in Series A funding. Wing VC led the round and was joined by Sentinel One, Snowflake, and Databricks.
- Intrepid Labs, a Toronto-based AI-powered drug formulation company, raised $11 million in funding. AVANT BIO led the $7 million seed round and was joined by existing investor Radical Ventures. Radical Ventures led the $4 million pre-seed round and was joined by Propagator Ventures.
- Zapia, a Montevideo, Uruguay and São Paulo-based WhatsApp-based AI personal assistant, raised $7.3 million in seed funding. Prosus Ventures led the round and was joined by Endeavor Catalyst, Anthos Capital, Factory HQ, and SnR.
- veritree, a Vancouver-based nature restoration verification platform, raised $6.5 million in Series A funding. Pender Ventures led the round and was joined by Garage Capital, Northside Ventures, and Diagram.
- Lignin Industries, a Knivsta, Sweden-based greentech company, raised €3.9 million ($4.3 million) in funding. The Carrick family, the company’s founders and majority owner, led the round and was joined by others.
- Egune AI, an Ulaanbaatar, Mongolia-based AI platform, raised $3.5 million in funding from Golomt Bank.
- Mentaily, a Ramat Gan, Israel-based AI-powered mental health diagnosis tools developer, raised $3 million in seed funding. A U.S.-based family office and Israeli family offices led the round and were joined by The Rashi Foundation, Sheatufim, and angel investors.
- Kickscale, a Vienna-based AI-powered sales intelligence platform, raised €2.1 million ($2.3 million) in seed funding. Gründungsfonds led the round and was joined by altitudeVC, Calm/Storm Ventures, Carinthian Venture Fond, and existing investors Julius Göllner, Michael Kamleitne, Stefan Lederer, and Christopher Mueller.
PRIVATE EQUITY
- Corinthian Capital Group and Valesco Industries acquired a majority interest in Trimlight, a West Jordan, Utah-based exterior lighting manufacturer. Financial terms were not disclosed.
- Just Climate, a São Paulo-based climate-focused investment firm, merged with Good Karma Partners, a São Paulo-based impact growth investment firm. Financial terms were not disclosed.
- Potamus Equity acquired a majority stake in VIVE, a Flint, Mich.-based vendor compliance and management platform for property managers. Financial terms were not disclosed.
OTHER
- New Home agreed to acquire Landsea Homes, a Dallas-based house building company, for $11.30 per share in an all-cash transaction at an enterprise value of approximately $1.2 billion.
- Orca Security acquired Opus, a Tel Aviv-based agentic AI-powered vulnerability management platform. Financial terms were not disclosed.
- Polar Asset Management Partners acquired Castlefield Associates, a Toronto-based alternative investment manager. Financial terms were not disclosed.
IPOS
- Hinge Health, a San Francisco-based musculoskeletal care devices developer, plans to raise $438.4 million in an offering of 13.7 million shares priced between $28 and $32 on the NYSE. The company posted $432 million in revenue for the year ending March 31, 2025. Insight, Atomico, 11.2 Capital, Coatue, Tiger Global, and Bessemer Venture Partners back the company.
FUNDS + FUNDS OF FUNDS
- VMG Partners, a San Francisco-based investment firm, raised $1 billion for its sixth fund focused on consumer brands.
- Denali Growth Partners, a Boston-based private equity firm, raised $400 million for its second fund focused on healthcare, life sciences, professional services, and other sectors.
- Nexa Equity, a San Francisco-based private equity firm, raised $390 million for its second fund focused on vertical SaaS companies.
PEOPLE
- Infinedi Partners, a New York City-based private equity firm, added Henry Hemaya as a vice president and head of business development. Previously, he was at Diversis Capital.