According to new data compiled by AksjeBloggen, the world’s ten largest unicorn companies reached a collective valuation of $563.3 billion as of September 2020.
Topping the list was the Chinese fintech Ant Financial, with a valuation of around $150 billion. The company, which offers clients a range of financial services from lending and payments to investing and insurance using a platform business model, recorded revenue of $10.5 billion in the first half of 2020 – a 38% increase year-on-year, with a net profit that rose almost 11 times to £3.26 billion during the same period.
Ant Group filed for its hotly anticipated IPO in August, and will be listed on both the Hong Kong Stock Exchange and Shanghai’s STAR Market.
ByteDance ranked as the second-most-valued unicorn. The parent company of Chinese social media giant TikTok gained a valuation of $140 billion as of September, representing an increase of 86% from the start of 2020.
Didi Chuxing, another Chinese company, ranked third among global unicorns with a $62 billion market value. An app-based transportation service provider with over 550 million users, the company facilitates ride-sharing, bike-sharing and taxi-hailing services, among numerous others.
US unicorns Infor and SpaceX rounded off the list of the top five global unicorns with respective valuations of $60 billion and %46 billion. America represented the largest unicorn market in the world, according to CBInsights data, with 236 private companies valued at over $1 billion. China ranked second with 182.
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When the term “unicorn company” first came into usage in 2013, there were only 40 private companies in the world that held a valuation of over $1 billion. Now there are 12.5 times as many unicorns currently in business, with around 500 existing as of September this year.
73 new unicorns were minted in 2020. Taken together, the world’s unicorns are worth a collective $1.5 trillion as of September. A full third of currently operating unicorns are involved in the fintech sector.
If it was possible to rewind back to 1999, we’d all invest in Apple stock instead of that VHS Recorder. In a new study by SmallBusinessPrices.co.uk, we analyse the priciest stocks of 2019 and what you could have bought with $100 over the decade.
Amazon is the most expensive stock, with the average stock price calculating to a whopping $1,752 - meaning $100 couldn’t buy you any stock, whilst in the year 2000 you’d be able to afford just two.
As one of the top e-commerce platforms in the world, Amazon gets more than 197 million visitors each month, and in 2018 the company’s share of the US e-commerce market hit 49%.
Based on the average stock price of Apple in 2000, $100 could have bought you around 35 stocks, whilst this same value wouldn’t buy a single stock based on 2019’s average stock price.
Steve Job’s innovative and visionary approach led to Apple becoming one of the biggest tech giants in the world. The launch of the iPod revolutionised the portable media player market, eventually launching iTunes which essentially changed the world’s understanding of digital media and the music industry.
Who’s worth more?
Microsoft top the leaderboard this 2019, with the company’s net worth being valued at $1 trillion - one of the only three companies to pass this figure, with Apple and Amazon being the other two in recent years.
Amazon takes second place for net worth, being worth around $928.5 billion, whilst Apple follows behind on $892.1 billion.
Despite Apple taking third place for net worth, the brand still remains champion for yearly revenue. In 2018, the giant made over $265.6 million - higher than both Amazon and Microsoft who made $232.9 and $110.4 million respectively.
What are unicorns?
A unicorn business is a startup with a valuation of $1 billion, they are privately held and rely on venture capital. The name ‘unicorn’ comes from the rarity of businesses gaining such success.
Which sector is taking the lead?
Despite unicorn companies being private and not being publicly traded, if you’re hot on investment and want to keep an eye on which sectors seem to tip the edge, we’ve taken a look at the sectors which are most likely to become unicorns.
With over 360 companies being valued at $1 billion this year, the e-commerce sector took the lead, with 42 companies being declared as unicorns. This was closely followed by Fintech, which saw 39 companies join the leaderboard, whilst Internet Software & Services took third place with 32 companies.
Ian Wright from SmallBusinessPrices.co.uk stated: “Unfortunately we can’t go back in time and invest that $100 we spent on junk, in Apple or Amazon! However, this research reveals just how quickly some of these brands have grown in the last few years, and how privately held start-up companies are also experiencing huge valuations from investors taking big risks to be successful.”
Investments of the 2000s
To see how much $100 could have bought you in the 2000s, or find out more about unicorn start-ups in more detail, you can take a look at SmallBusinessPrices.co.uk’s tool here.
“The Minicorn Club is for FinTech start-ups that are aspiring and aiming to become Unicorns,” explained Jessica Williams, Event Manager of PayExpo Europe before adding “and there are many exciting new businesses in the payment sector that deserve recognition in this way.”
“Thousands of start-ups in this sector are jostling for position, chasing the right support, advice and exposure to build a competitive product, attract investment and achieve scale.
“Despite Brexit and its associated fallout, investment in UK FinTech start-ups has recovered and is on the rise with over half a billion dollars invested in the first half of 2017. The opportunities are out there.”
Nine Minicorns in the payments sector will have the chance to demonstrate their talents and businesses at PayExpo Europe, taking place at ExCeL London on 4th & 5th October.
The Minicorn Club, which is sponsored by Addleshaw Goddard’s AG Elevate, is showcasing some of the brightest new companies that are competing to be the next Unicorn.
Alongside the exhibitors there is a dedicated networking area where investors and start-ups can meet. It is also an opportunity for start-ups to apply to join the AG Elevate Programme.
The nine Minicorns on show will be:
- Cashaa – a blockchain-powered forex platform
- Dualitybanx – a forex product for those who work with multiple currencies
- Know Your Customer - the world's only fully integrated platform that delivers rapid ID verification for both individual and corporate customers
- New Gen – a multi-channel e-commerce & international payment solutions provider
- ShieldPay - a payment service provider and instant digital escrow service that enables secure transactions and payments between consumers all over the world
- Tide - a bank specially for small business customers
- Trezeo - provides financial stability for self-employed workers in the gig economy by turning unpredictable income into regular payments
- Zensed - a truly automated fraud prevention system powered by artificial intelligence and advanced machine learning modelling
- 1partPet – GPS technology collars for finding cats and dogs
“Is the next $1 billion start-up among them? Why not come to find out?” concludes Jessica Williams.
(Source: PayExpo Europe Press Office)
