Mercury in late talks for over $5B valuation

TL;DR

Mercury is in late-stage talks to raise capital at over $5 billion valuation, up from $3.5 billion a year ago.
It hit $650 million annualized revenue in 2025 with a third year of profitability, and just acquired payroll firm Central.
Talks signal fintech consolidation in CFO tools amid rival deals like Capital One's $5.2 billion Brex buyout.

The story at a glance

Mercury, a fintech known for startup banking, is in late-stage talks to raise new capital that values it over $5 billion, sources tell Axios. The company has picked a lead investor but not finalized terms, on the same day it announced buying Central, a payroll and benefits service. This comes as Mercury expands into small businesses, personal banking, bill pay, and spend management to compete with Brex and Ramp.

Key points

Valued at $3.5 billion in a $300 million Series C round about a year ago, led by Sequoia Capital.[[1]](https://www.axios.com/pro/fintech-deals/2026/04/02/mercury-5-billlion-valuation)
Reported $650 million in annualized revenue for 2025, up from prior years, marking its third year of profitability.
Acquired Central to add payroll and benefits, pushing deeper into financial operations for small and medium businesses.
Competes with Brex and Ramp in bill pay and spend management; Capital One agreed to buy Brex for $5.2 billion in January, while Ramp bought travel platform Juno last month.
No details yet on exact round size or final valuation.

Details and context

Mercury started as a banking platform for startups but has grown into a broader financial stack, including tools for small businesses and personal use. The fundraising push and Central deal highlight a wave of dealmaking reshaping CFO software, where firms bundle banking, payments, payroll, and expenses.

This fits a pattern of consolidation: big banks like Capital One snapping up fintechs, and peers like Ramp acquiring add-ons to build all-in-one platforms for SMBs. Mercury's revenue growth and profitability set it apart in a sector that has seen cutbacks elsewhere.

Key quotes

"We believe your bank account should do more than hold your money. It should power everything your company does with money." — Mercury CEO Immad Akhund, in a blog post announcing the Central acquisition.[[1]](https://www.axios.com/pro/fintech-deals/2026/04/02/mercury-5-billlion-valuation)

Why it matters

Fintechs are racing to consolidate CFO tools like banking, payroll, and spend management into single platforms for startups and SMBs. For businesses, this means more integrated options but also fewer choices as rivals merge or get bought. Watch if Mercury closes the round and announces more acquisitions, though terms remain unconfirmed.

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