Most startups never reach a valuation of over $1 billion,and are such a statistical rarity that they are termed as unicorns, as coinedin 2013 by venture capitalist Aileen Lee.
Indian startup Razorpay is proud to join the unicorns' clubwith raising $100mn. The full-stack financial solutions company Razorpay hasraised $100 million in its Series D round of funding.
Now, the company is rubbing shoulders with companies BYJU’s,Swiggy, Zomato, Paytm and others.
The round was co-led by GIC, Singapore's sovereign wealthfund and Sequoia India, along with participation from Ribbit Capital, TigerGlobal, Y Combinator and Matrix Partners, the company said in a statement.
Witnessing a 300 per cent growth in its business during thelast six months, the new funding gives Razorpay $206.5 million in investmentssince its inception in 2014 (this includes recent $75 Million raise in Series Cin 2019).
"This funding represents a huge endorsement of ourbelief of powering the financial infrastructure for disruptive businesses,simplifying the entire money flow so that businesses can focus more ondisrupting the Indian economy with their new ideas, products and experiences, everyday," said Harshil Mathur, CEO and Co-Founder.
The company intends to use the latest round of funding to strengthenand boost its two new product lines – RazorpayX and Razorpay Capital. Theformer is a neo-banking platform i.e. itwill only have online service and no physical end-user offices. The latter is alending arm and will invest in new initiatives to empower SMEs (Small and MediumEnterprises).
"Neobanking is a nascent but fast-developing space inthe Indian market and has the potential to become the one-stop platform for abusiness' banking needs. This pushes us to develop new technologies that meetthe rising demand," Mathur said.
Despite the Covid-19 disruption, the fintech market isexpected to grow to Rs 6.2 lakh crore by 2025.
"We will power payments and banking for 50 millionbusinesses by 2025," Mathur added.
33 angel investors have invested in the company, thusbacking their belief in the company’s vision to redefine how finance works inIndia and simplify payments and banking.