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Iconiq VCs spent two years courting Chime and the firm isn’t selling its stake
- Chime, a neobank, recently had a successful IPO, raising $864 million and opening at $43 per share.
- While not the largest IPO of the year, Chime's cap table includes prominent Silicon Valley investors like Iconiq's Yoonkee Sull.
- Iconiq's VCs, Sull and Stanger, spent two years pursuing Chime before investing, preferring outbound deals with vetted founders.
- Chime, once struggling for funds in 2016, turned around with a Series A extension round led by Lauren Kolodny.
- Iconiq invested in Chime's oversubscribed $200 million Series D in 2019 and subsequent funding rounds.
- Chime's private shares may not all be profitable post-IPO, with Series E investors paying about $41 per share and Series F at $60.
- Iconiq hasn't disclosed the amount paid for its stake, but Sull confirmed they are not selling in the IPO.
- Existing shareholders, including employees, are under a 180-day lock-up period post IPO.
- Investors like Menlo Ventures and Cathay Innovation are celebrating Chime’s IPO success.
- Cathay Innovation, an early backer, sold 3.75 million shares in the IPO after leading Chime's Series B in 2017.
- The success of Chime's IPO was attributed to years of hard work and dedication by the company.
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