Razorpay has raised a total of $366.5 million in funding from 2014 to now. The company will be focussing on investing in new-age business banking solutions and unlocking growth for small and medium businesses.
Fintech unicorn Razorpay has raised $160 million in Series E funding, standing at a valuation of $3 Billion. The round was led by existing investors Singapore’s sovereign wealth fund, GIC, and Sequoia India, along with Matrix Partners and Matrix Partners. The company’s latest round of funding comes soon after it has attained unicorn status.
The plans to infuse the freshly raised capital to invest in new acquisitions, scale up its business banking suite, and launch itself in international markets in South-East Asian countries. The unicorn is already in the process of hiring over 600 employees to accelerate its growth plans.
With the latest round of fundraising, Razorpay has raised a total of $366.5 million in funding from 2014 to now. The company will be focussing on investing in new-age business banking solutions and unlocking growth for small and medium businesses. Its neo-banking platform called “RazorpayX” is changing the business of banking while powering over 15,000 Indian businesses to manage their money themselves. The neobank witnessed a 400% growth in transaction volume in the last 1 year of COVID.
A portion of the funds raised will be invested in RazorpayX to roll out new products tailored to be built on the latest technology. These products will be designed to manage expenses better, enhance company convenience, security, and help minimize a company’s financial risk in an increasing digital set-up. The company has been disbursing credit of INR 700 crores and upwards per month, helping entrepreneurs get access to working capital, and it now plans to scale this up to INR 1,000 crores/ month by 2021 end. The team is also looking to expand into South-East Asian countries.
Razorpay is also looking to strengthen its banking offerings by looking out for business-to-business, SaaS start-ups opening in the accounting, SME credit, taxation, expense management segment, and accounts receivable. Razorpay currently powers payments for over 50 lakh businesses, including Airtel, Facebook, Airtel, BookMyShow, Zomato, Swiggy, Ola, Zomato, Cred, and ICICI Prudential, among others.