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The venture firm emailed LPs in funds raised between 2009 and 2011 with an offer to buy up to $861m worth of shares in Stripe. The move is notable for two reasons - for one, it’s evidence that LPs are increasingly antsy for liquidity in this dry IPO market. But perhaps more telling is that Sequoia’s gesture reflects that the firm is confident not only of Stripe’s future, but in its ability to eventually exit in a way that will reward investors handsomely.
Despite increased competition, 15-year-old Stripe has continued to grow impressively. In March, Stripe noted in its annual letter that it had crossed the $1 trillion total payment volume metric in 2023 after seeing a 25% bump in its payment volume. The company also said in the letter that it was “robustly cash flow positive in 2023 and expects to be again in 2024,” which means it won’t feel the urgency to raise capital, even as it searches for ways to allow its employees and VC investors to sell shares.
