Fintech Firm Plaid Raises $575 Million at Lower Valuation (2)

Plaid Inc. raised $575 million in a funding round which valued the company at less than half of what it was worth in 2021, underscoring how financial technology firm valuations have retreated amid higher interest rates.

Plaid raised the round – which the firm said was oversubscribed – at a $6.1 billion valuation, according to a company spokesperson. That’s far lower than the $13.4 billion valuation it scored about four years ago.

The company, which is poised for an initial public offering, raised the funds from longtime existing investors Ribbit Capital and NEA and new institutional backers including Fidelity Management ...