Marqeta, which operates an open API payment card issuing and payment platform, filed on Friday with the SEC to raise up to $100 million in an initial public offering. However, this is likely a placeholder for deal we estimate could raise up to $1.5 billion.
Marqeta claims to have created modern card issuing, allowing businesses to create customized payment cards for their customers and end users. The company's platform is powered by open APIs and allows businesses to launch and manage their own card programs, issue cards to their customers or end users, and authorize and settle transactions. The company's customers include Affirm (AFRM), DoorDash (DASH), Instacart, Klarna, and Square (NYSE: SQ). In 2020, revenues grew 103% to $290 million, and its dollar-based net retention rate was over 200%.
The Oakland, CA-based company was founded in 2010 and booked $350 million in sales for the 12 months ended March 31, 2021. It plans to list on the Nasdaq under the symbol MQ. Marqeta filed confidentially on February 16, 2021. It had been on our Private Company Watchlist since July 2020. Goldman Sachs, J.P. Morgan, Citi, Barclays, William Blair and KeyBanc Capital Markets are the joint bookrunners on the deal. No pricing terms were disclosed.
