Wise Fintech Secures Shareholder Approval for US Stock Market Listing

In a significant move for the UK fintech sector, shareholders of Wise, a leading online payments company, have voted overwhelmingly to relocate its primary stock market listing from the London Stock Exchange to the United States. The decision was made during an extraordinary general meeting held on July 28, 2025, where approximately 91% of Class A shares and 84.5% of Class B shares supported the proposal, reflecting strong investor confidence in the company's future prospects.

Founded in 2011 by Kristo Käärmann and Taavet Hinrikus, Wise has grown to become one of the most prominent financial technology firms in the UK, boasting a market valuation of around £11 billion. The move to the US market is primarily aimed at enhancing visibility and attracting a broader investor base in what is considered the world's largest capital market.

Kristo Käärmann, the co-founder and CEO, stands to gain significantly from this transition, as the voting structure approved also extends the dual-class share system, which grants him enhanced rights. Käärmann's economic interest in Wise will increase from 18% to 55%, although his voting power is limited to 50%. This dual-class structure, initially established during Wise's public listing in 2021, was set to expire next summer under a pre-existing 'sunset' clause. The current vote effectively extends this provision by another ten years.

The decision to combine the relocation of the listing with the renewal of the dual-class structure has sparked controversy within the company. Taavet Hinrikus, who is no longer with Wise, criticized the 'all or nothing' approach of the vote, arguing that shareholders should have been able to vote separately on these significant governance changes. He expressed concerns that such a structure could entrench management control rather than enhance shareholder value. Hinrikus stated, "Wise owners deserve governance structures that enhance value, not entrench power."

The shareholder advisory service Pirc also voiced its opposition to the dual-class structure, emphasizing that it could lead to a concentration of power within management. The organization advised investors to vote against the resolution, highlighting concerns over governance practices that do not align with shareholder interests. Despite these reservations, the majority of shareholders chose to support the proposal, indicating a strong belief in the company's strategic direction.

David Wells, Chair of Wise, expressed gratitude for the overwhelming support from shareholders, stating, "We’re pleased that our owners have overwhelmingly approved the proposal, giving us a strong mandate to proceed. With this high level of support, our focus is firmly on moving forward, further accelerating our mission of money without borders and creating long-term value for our owners as we progress to moving trillions."

The anticipated transition to a US listing and the new governance structure is expected to take effect in the second quarter of 2026. This strategic move aligns with Wise’s ongoing commitment to expand its footprint in the global financial landscape and tap into the vast opportunities presented by the US market. As Wise prepares for this significant change, it remains to be seen how the new governance structure will impact its operations and relationships with shareholders in the long term.

In conclusion, the decision to move Wise's primary listing to the US not only reflects a strategic pivot aimed at enhancing market visibility and attracting investment but also raises important questions about corporate governance and shareholder rights within the rapidly evolving fintech sector. The coming months will be critical for Wise as it navigates this transition and aims to deliver on its ambitious goals in the competitive landscape of financial technology.