Starling Bank founder sold last shares at cut-price £1.7bn valuation

Sky News understands that Anne Boden disposed of her remaining 2.7% interest in Starling Bank at a valuation of just ┬ú1.7bn – which would have generated proceeds of roughly ┬ú45m.

Starling Bank was last year said to be seeking a valuation of as much as £4bn in a process to allow some existing shareholders to reduce their holdings.

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The price at which Ms Boden, who is now said to be working on a new AI venture, sold the stake is likely to alarm other investors.

The Sunday Times reported at the weekend that Ms Boden had sold the shares, but did not provide a valuation.

The newspaper reported that her shares were acquired by other existing shareholders, including its largest investor, Harald McPike.

Ms Boden left Starling Bank in 2023, since when it has endured a choppy period with both revenues and earnings in decline.

The company employs thousands of people and was a major participant in the government-backed loan schemes which were introduced during the pandemic.

Starling Bank has long been touted as a potential listing candidate, although there is little evidence that it wants to pursue a flotation in the near term.

When contacted by Sky News, Ms Boden said she was unable to comment, while Starling Bank also declined to comment.