Canada's Wealthsimple raises funds at C$13.80 billion valuation

Oct 27 (Reuters) - Canadian financial services company Wealthsimple said on Tuesday it had raised up to C$425 million ($302.5 million), taking its valuation to C$13.8 billion as it expands its challenge to the country's dominant banks.

Here are some details:

• "We're seeing tremendous momentum from Canadians that are choosing to leave the banks and live their entire financial lives on Wealthsimple. And we don't want to slow down. We want to speed up and keep launching new products," CEO Michael Katchen said in an interview with Reuters

• Canada's six biggest banks, including Royal Bank of Canada RY.TO and Toronto-Dominion Bank TD.TO, control most of the banking sector

• Meanwhile, digital challengers such as Wealthsimple, which had C$169.2 billion in assets under administration as of September 30, have been attracting younger customers

• The fundraise values Toronto-based Wealthsimple at C$13.8 billion, nearly 40% higher than the C$10 billion valuation it secured in 2025

• On IPO plans, Katchen said the company was "not in a rush," but that public markets were "certainly ... the destination"

• This round was led by Singapore sovereign wealth fund GIC, with participation from existing investors Power Corporation of Canada POW.TO, IGM Financial IGM.TO, ICONIQ, CPP Investments and Inovia

• Wealthsimple said it would use the proceeds to develop new products and expand its banking and investment services

($1 = 1.4049 Canadian dollars)