Money transfer firm Wise has delivered a substantial blow to the City of London by confirming the definitive timeline for downgrading its primary listing from the UK capital to the United States, with the transition expected to be completed within the current quarter. The announcement came during the company's fourth-quarter update, where Wise revealed that its upcoming financial year results will be published in US dollars, a move the firm described as "reflecting the expected completion" of its dual listing strategy.
Strong Financial Performance Amid Strategic Shift
Despite the significant operational changes, Wise reported impressive growth metrics for its latest quarter. Cross-border transaction volumes, representing the total value of financial transfers, surged by 26 percent to approach £50 billion. The number of active customers expanded by 22 percent year-over-year, reaching 11.3 million users globally. Customer holdings with the fintech platform jumped by 37 percent to £29.4 billion, which helped drive card revenue streams upward by nearly 30 percent.
Wise has been aggressively expanding its financial services offerings, recently launching a UK current account product last month as part of its strategy to compete directly with traditional banking institutions. The company stated it is forecasting its pre-tax profit margin, a crucial profitability metric, to reach the upper range of its 13 to 16 percent target despite increased costs associated with the listing transition.
Substantial Investment in Growth and Technology
The financial technology firm has made significant investments to support its expansion and listing transition. Marketing expenditure increased by 59 percent to £57 million during the first half of the financial year, while technology investment rose by 18 percent to £144 million. Wise also outlined ambitious hiring plans, aiming to recruit over 1,000 additional employees to bolster operational capacity across its global operations.
"We believe that the addition of a primary US listing would bring a number of strategic and capital markets benefits to Wise and its owners, including greater visibility in the United States, the biggest market opportunity for our products today, and better access to the world's deepest and most liquid capital market," the company stated in its Monday announcement.
Founder Conflict and Shareholder Approval
When Wise initially revealed plans for the listing change in June 2025, the fintech indicated the move would "provide a potential pathway to inclusion in major US indices," representing a significant disappointment for London financial officials who had considered Wise a potential blue-chip candidate for the UK market. The transition plans triggered substantial internal conflict between co-founders Kristo Käärmann and Taavet Hinrikus.
Hinrikus expressed being "deeply troubled" by proposals to alter voting rights as part of the listing change vote, accusing Käärmann of "lack of transparency" and criticizing the bundling of voting rights extension with the listing transition as "entirely inappropriate and unfair." Despite this internal discord, Käärmann successfully navigated the shareholder approval process, with more than 90 percent of Class A shareholders and 84.6 percent of Class B shareholders endorsing the deal.
The approved arrangement also included a ten-year extension for super-voting shares held exclusively by a small group of internal investors, securing the necessary support for Wise's strategic relocation of its primary listing from London to the United States financial markets.
