Adyen (ADYEN.AS) is taking one financial knock after the other as its founders, Pieter van der Does and Arnout Schuijff, lose a collective $2bn after the share price losses. Since the beginning of the year, this company’s shares dropped by 48%.
Adyen battles to keep above water as founders lose $2bn
Often described as a pandemic champ and worthy competitor to digital payment giants such as PayPal (PYPL) and Stripe, Adyen suffered the brunt of this decline in August. After reporting an all-time low in revenue growth, investors baulked, expunging $20bn in market value. The founding duo’s 3% stake in the company currently carries a value of $1.33bn.
Founded in 2006, Adyen partnered with well-known brands such as Spotify, Uber, and Booking.com as a payment option. It made its mark as a serious market competitor when eBay selected Adyen as its primary go-to instead of PayPal.
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Adyen went public in the same year and topped the charts as Europe’s biggest IPO in 2018. This launched Schuijf and Van Der Does into billionaire status.
Although COVID-19 took its toll on many businesses, digitised outfits such as Adyen flourished during the pandemic as people took to online shopping during the lengthy lockdowns. During the first half of 2021, this payment provider recorded a 67% year-on-year increase in payment volumes.
Worldwide, consumers tighten their belts as global economic pressures persist, seemingly striking the midnight bell and turning Adyen’s carriage into a pumpkin. The company scheduled an investor day for 8 November to discuss future financial growth and strategy.
