Razorpay said on Monday it has raised $160 million (Rs 119 crore) as the fintech firm looks to scale up its business banking unit, with the new funding round tripling the company’s valuation to $3 billion (about Rs 7,490 crore).
The capital would also be used to invest in new deals and to launch in Southeast Asia, the payments and business banking platform said in a statement.
The Series E funding round was co-led by Singapore sovereign wealth fund GIC, a new investor, and existing backer Sequoia Capital. Other existing investors Ribbit Capital and Matrix Partners also participated in the fundraise.
“Our recent initiatives in the banking and lending space through RazorpayX & Capital have helped businesses meet some very unique challenges around managing money, empowering businesses to grow up to 10x in spite of an economically difficult year,” Harshil Mathur, CEO and co-founder of Razorpay, said.
The valuation of $3 billion comes less than six months after Razorpay became a unicorn late last year. Another fintech firm Cred morphed into a unicorn recently.
To be sure, companies are entering the unicorn club in India at record speed.
Moreover, the first quarter of 2021 saw investors close 120 deals worth $3.8 billion, according to VCCEdge.
Razorpay, set up in 2013 by IIT Roorkee alumni Shashank Kumar and Mathur, has raised $366.5 million in investments so far, which includes $100 million in Series D funding in 2020.
It grew 40-45% month-on-month, Razorpay said adding that it achieved $40 billion total payment volume.
Razorpay’s customers include Facebook, Airtel, Ola, Zomato, Swiggy, Cred, and ICICI Prudential.