In a significant move that underscores the resilience of the fintech sector, payments giant Stripe Inc. is negotiating to repurchase shares from its investors at a valuation of $106.7 billion, marking a new high that surpasses its previous peak. This development, first reported by The Information, comes amid a broader recovery in tech valuations following years of market volatility. The company, known for its online payment processing tools, has been conducting a so-called 409A valuation internally at this level, according to sources familiar with the matter.

The buyback talks aim to provide liquidity to early backers without the need for an initial public offering, a strategy Stripe has employed multiple times in recent years. This latest valuation eclipses the $95 billion mark Stripe achieved in a 2021 fundraising round, highlighting a remarkable rebound from the downturn that saw its worth dip to $50 billion in 2023 amid rising interest rates and economic uncertainty.

A History of Valuation Swings and Strategic Maneuvers

Stripe’s journey through these fluctuations has been closely watched by venture capitalists and tech executives. In February 2025, the company facilitated a tender offer at a $91.5 billion valuation, as detailed in reports from CNBC, allowing employees and former staff to cash out shares. That move followed a $70 billion valuation in a similar employee tender offer in late 2024, per Bloomberg.

These repeated buybacks reflect Stripe’s cautious approach to going public, even as peers like Klarna pursue IPOs. Founded by brothers Patrick and John Collison in 2010, Stripe has raised nearly $2 billion from heavyweights such as Sequoia Capital, GV, and Andreessen Horowitz, building a business that processes payments for millions of online merchants worldwide.

Investor Dynamics and Market Implications

The current negotiations, as outlined in a scoop by Axios, involve repurchasing shares directly from venture capital backers, though the exact amount of stock involved remains undecided. This follows an unusual step in 2024 when Sequoia offered to buy $861 million in Stripe shares from its own limited partners at a $70 billion valuation, a transaction confirmed by Stripe co-founder John Collison and reported by The Information.

For investors, this escalation to $106.7 billion represents a lucrative opportunity to realize gains in a private market where liquidity can be scarce. It also signals confidence in Stripe’s growth trajectory, driven by expanding services like fraud prevention and banking tools, despite competition from rivals such as Adyen and PayPal.

Broader Fintech Recovery and Future Prospects

This valuation surge aligns with a thawing in the private tech market, where high-interest rates had previously compressed multiples. As Bloomberg noted in its coverage, Stripe’s ascent past its 2021 high could encourage other unicorns to delay public listings, opting instead for internal liquidity events.

Industry insiders view this as a bellwether for fintech’s maturation. With Stripe’s annual revenue reportedly exceeding $14 billion, the company is positioning itself as a dominant force, potentially setting the stage for an eventual IPO under more favorable conditions. However, challenges remain, including regulatory scrutiny on payment processors and the need to sustain innovation in a crowded field.

Strategic Liquidity in a Post-Pandemic Era

By prioritizing share buybacks, Stripe avoids the volatility of public markets while rewarding long-term supporters. This approach has drawn comparisons to other private giants like SpaceX, which have used similar tactics to manage investor expectations.

Ultimately, this $106.7 billion milestone not only validates Stripe’s business model but also highlights the evolving strategies private companies employ to navigate economic cycles, offering lessons for the next generation of tech startups.