Brex Acquired by Capital One (How it Got Here)
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Brex was acquired by Capital One on January 22nd, 2026. The deal will likely go through and a Brex IPO is not longer likely.
Table of Contents
Notable Brex News
01/22/2026: Capital One to Acquire Brex
09/04/2025: Brex plots European expansion in push for IPO
06/12/2024: Brex abandons co-CEO model, talks IPO
01/23/2024: Brex is Burning $17 Million a Month
Older news…
About Brex
Brex is a financial technology company that offers banking services to startups and small businesses. The company provides online software for corporate credit cards, business banking, expense management, business travel, and financial modeling.
The company was founded by Henrique Dubugras and Pedro Franceschi, two Brazilian entrepreneurs. They met through a Twitter argument that led to a long friendship.
The duo previously founded a startup called Pagar.me that they sold in 2016. They then attended Stanford together but dropped out within a year to start Brex.
Brex started as a virtual reality company, but the founders quickly pivoted after joining the Y Combinator incubator batch in Winter 2017.
The pivot resulted from the company and its Y Combinator peer’s struggles to get business credit cards without personal liability.
Brex’s mission is to “empower employees anywhere to make better financial decisions.”
The company’s headquarters are in San Francisco, California.
Ownership
Capital One announced the acquisition of Brex in January 2026. The large consumer bank will own 100% of Brex once the deal closes.
Brex was previously own by the founders, employees, and several venture capital firms.
Investors include the founders, employees, and the following prominent venture capital firms: Ribbit Capital, Y Combinator, DST Global, Kleiner Perkins, Lone Pine Capital, Greenoaks, Baillie Gifford, IVP, Tiger Global Management, and Peter Thiel.
Brex’s latest funding round was completed in October 2021. The company raised $300 million in a Series D-2 funding round.
October 2021 was near the peak of the IPO and private funding frenzy that came to an abrupt halt in early 2022.
Brex previously raised $425 million just six months earlier.
Pre-Acquisition Funding Rounds
| Round | Date | Est. Valuation | Raise Amount | Price |
|---|---|---|---|---|
| Series D2 | 01/10/22 | $12.30B | $320.00M | $ 34.74 |
| Series D | 04/25/21 | $7.78B | $480.00M | $ 22.58 |
| Series C2 | 02/09/20 | $2.75B | $150.00M | $ 10.74 |
| Series C2 | 06/10/19 | $2.60B | $100.00M | $ 10.74 |
| Series C | 10/04/18 | $1.10B | $125.00M | $ 4.93 |
| Series B | 06/30/18 | $220.00M | $50.00M | $ 71.44 |
| Series A | 04/19/17 | $21.50M | $6.50M | $ 10.96 |
| Accelerator/Incubator | 02/28/17 | $1.71M | $120.00K | $ - |
| Source: Caplight |
Valuation
The final Brex valuation was $5.15 billion based on the Capital One purchase price.
The last confirmed private Brex valuation was $12.3 billion based on the Series D-2 funding round completed in January 2022.
IPO Potential
A Brex IPO is now highly unlikely after Capital One’s acquisition announcement.
Here’s how things looked before Capital One.
In an interview in June 2024, Brex CEO Henrique Dubugras told TechCrunch:
I think that one important piece for having a lower volatility public company is being cash-flow positive and making money, which is something that we historically have planned for 2025. So, if that happens in 2025, [an IPO] will be soon after. But we need to get there first.
Fintech companies have suffered significant down funding rounds since 2021, in line with public fintech companies. Private startup valuations tend to lag as the down valuations discourage raising money in “down rounds”.
We may get clues about the potential Brex IPO date timing if the company hires an underwriter, files an S-1 confidentially, or if reporting discloses a Brex IPO date range.
The company absorbed several large banking customers during the Silicon Valley Bank failure in early 2023.
Brex will be required to file an S-1 with the U.S. Securities and Exchange Commission (SEC) to kick off the IPO process.
How to Invest in Brex Stock
Capital One announced the acquisition of Brex on January 22nd, 2026.
Current Brex stock investors should wait for the deal to close to receive their payout in cash and stock.
Investors should buy Capital One stock (symbol: COF) if they are interested in the future of Brex equity.
Frequently Asked Questions
Is Brex Publicly Traded?
No. Brex is not publicly traded. After years of being a private venture-backed startup, Brex will become part of Capital One.
Is Brex a Bank?
No. Brex is a financial technology company. Brex accounts are cash management accounts (not bank accounts).
The company works with multiple partner banks to provide FDIC-insured banking services and protected deposits.
Primary banking partners include Emigrant Bank, Fifth Third Bank, and JPMorgan Chase Bank, but the complete list of Brex partner banks is on their website and is subject to change.
Cash not invested in government money market accounts is automatically swept into partner banks to be eligible for up to $6 million in total FDIC insurance.
Brex applied for a banking charter in February 2021 but withdrew the application in August of the same year, citing the opportunity to strengthen the application and resubmit. U.K. fintech Revolut and the financial services provider Chime have also experienced challenges in becoming banks.
Once the Brex acquisition is complete, Brex will become part of Capital One, which is a bank.
What is the Brex Stock Price?
A public Brex stock price does not exist. Investors should watch the Capital One stock price going forward.
What is the Brex Stock Symbol?
The Brex stock symbol will be COF because it is part of Capital One Financial.
Where is the Brex S-1 Filing?
A Brex S-1 filing is unlikely to ever become available.
You can monitor the most recent F-1 and S-1 IPO filings on this webpage.
Brex Stock IPO News Archive
04/26/2023: Henrique Dubugras, the 27-year-old behind Brex
01/23/2024: Brex is Burning $17 Million a Month
04/26/2023: Henrique Dubugras, the 27-year-old billionaire behind Brex
10/21/2021: Brex just signed a term sheet for $300M at a $12.3B valuation
08/09/2021: Brex withdraws ILC, deposit insurance applications
04/26/2021: Brex raises $425M at a $7.4B valuation
02/19/2021: Brex Files Application for Industrial Bank Charter
Conclusion
Brex will soon become part of Capital One through an acquisition. Venture capital views Brex as a victim of the extraordinary growth of Ramp.
There will be no Brex IPO. Pre-IPO investors can look to Ramp to find a high-growth fintech in the same product vertical.
Craig Stephens founded Access IPOs in 2016 to help ordinary investors explore IPO and pre-IPO opportunities. He also manages the Access Club, a membership community for IPO and startup investors. Craig studied Finance at Michigan State University and lives in Northern Virginia. Learn more about Craig.
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