The Remitly Reassessment: What Divisadero’s 95 Million Exit Tells Us About Digital Money Movement

On November 13, 2025, Divisadero Street Capital Management, LP disclosed a major sell of 5,036,343 shares of Remitly Global (NASDAQ:RELY), reducing its position by approximately $94.68 million.

The transaction represented a 3.94% change relative to the fund’s reportable assets under management (AUM)

Post-trade, the fund holds 61,463 shares valued at $1.00 million

The position now accounts for 0.04% of AUM, which places it outside the fund's top five holdings

What happened

According to a Securities and Exchange Commission (SEC) filing dated November 13, 2025, Divisadero Street Capital Management, LP reduced its position in Remitly Global (NASDAQ:RELY) by 5,036,343 shares during the third quarter. The fund’s holding declined from a previously significant stake to just 61,463 shares, with the remaining position valued at $1,001,847 as of September 30, 2025.

What else to know

The transaction was a substantial sell, leaving Remitly Global at 0.04% of the fund's $2.29 billion reportable AUM, which places it outside the fund’s top five holdings.

Top holdings after the filing:

• NASDAQ: DAVE: $184,451,777 (8.6% of AUM)
• NYSE: SGHC: $129,789,132 (6.0% of AUM)
• NASDAQ: SEZL: $118,866,890 (5.5% of AUM)
• NYSE: TPB: $96,296,165 (4.5% of AUM)
• NASDAQ: INDV: $81,072,407 (3.8% of AUM)

As of November 13, 2025, shares were priced at $12.49, down 38.3% over the past year, underperforming the S&P 500 by 48.83 percentage points.

The position was previously 2.2% of the fund's AUM as of the prior quarter.

Company overview

Company snapshot

Remitly Global operates at scale in the digital remittance industry, serving a global customer base with technology-enabled financial solutions.

The company’s strategy centers on leveraging digital infrastructure to deliver secure, efficient, and accessible money transfer services. Its competitive edge lies in its focus on customer experience and its ability to address the unique needs of immigrant communities worldwide.

Remitly Global offers digital cross-border remittance services across approximately 150 countries, facilitating international money transfers primarily for immigrants and their families.

The company targets individuals and families with cross-border financial needs, particularly immigrants seeking reliable, cost-effective remittance solutions.

Remitly Global operates a technology-driven platform to deliver secure, efficient, and accessible money transfer services globally.

Foolish take

Divisadero Street Capital’s decision to unwind almost its entire Remitly position is more than a routine rebalance. It removes a large institutional holder from the story at a moment when the company is still defining its long-term path in the digital remittance market. That level of selling forces investors to look more closely at what Remitly is today and where its economics may be heading.

Remitly built its business by giving immigrant families a faster, app-based alternative to cash counters and wires, and that helped it scale across many key remittance corridors. That mission still resonates, but the economic backdrop has shifted. Digital-first rivals such as Wise and a growing number of fintech wallets are now pushing prices lower on core routes, while incumbent banks and money-transfer operators defend their share with promotions and loyalty programs. At the same time, customer acquisition costs are high in a crowded app ecosystem, and regulators continue to tighten KYC and compliance requirements. The result is a business that enjoys strong engagement but still needs to prove it can consistently expand contribution margins as volumes grow.

For investors, the focus shifts toward the path to profitability and the stability of customer behavior across economic cycles. If Remitly proves it can widen margins without losing its core users, the company could still command a larger role in the evolving remittance ecosystem.

Glossary

Divest: To sell off an asset, investment, or business interest, often to reduce exposure or rebalance a portfolio.

Stake: The ownership interest or share held in a company by an individual or institution.

Position value: The total market value of a specific investment holding within a portfolio.

AUM (Assets Under Management): The total market value of assets that a fund or investment manager oversees on behalf of clients.

Reportable AUM: The portion of a fund's assets required to be disclosed in regulatory filings.

Top holdings: The largest investments in a fund's portfolio, typically ranked by market value or percentage of AUM.

Quarter: A three-month period used for financial reporting and performance measurement, often referred to as Q1, Q2, etc.

Remittance: The transfer of money, often by a foreign worker, to individuals in their home country.

Digital remittance: Sending money internationally using online platforms or mobile apps instead of traditional cash-based methods.

Cross-border: Involving or relating to activity, such as financial transactions, that occurs between different countries.

Competitive edge: A unique advantage that allows a company to outperform its competitors.

TTM: The 12-month period ending with the most recent quarterly report.

Eric Trie has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Sezzle. The Motley Fool recommends Turning Point Brands. The Motley Fool has a disclosure policy.