With the latest funding led by GIC, the sovereign wealth fund of Singapore, Razorpay (1) is now a valuation with over 1 billion USD. It makes the payment gateway startup the latest entrants of the Indian Unicorn Club. Moreover, the Bengaluru-based platform’s existing investors, Ribbit Capital, Y Combinator, Matrix Partners, and Tiger Global, also participated in the latest fundraising.
With the latest 100 million tranches from GIC and other investors, the startup valuation now stands at a little above 1 billion USD. Notably, in 2019, the startup’s valuation was 106.7 million USD after securing 75 million USD fundings in the Series C round. The latest Series D funding round also observed participated from existing investors.
Since its inception, Razorpay has raised 206.5 million USD. While commenting on the recent investments, Harshil Mathur, the Co-founder and chief executive of the startup stated that, GIC is a good long-term investor. He added that the team knows the market and investment firms like Bandhan Bank and Bajaj Finserv. It would help us on our journey with a public listing.
Razorpay to Deepen its Roots in India, Grow its Product Portfolio
With the latest fundings, the team focuses on going more profound in the Indian market while expanding our product portfolio to grow business and achieve profitability, added Harshil.
Notably, Razorpay is the fifth fintech firm in India to achieve the unicorn status. Other companies in the Unicorn club in the segment include BillDesk, PhonePe, owned by Flipkart, PolicyBazaar, insurtech startup. Furthermore, all these companies reached a valuation of over 1 billion USD in 2018. Paytm, the most valuable startup in India entered the unicorn club in 2014. At present, it has a valuation of over 16 billion USD.
Shashank Kumar and Harshil Mathur started the company in 2014 as a payment gateway service. It currently powers digital payments of more than 200,000 small and large businesses, including IRCTC, Airtel, BookMyShow, NSE, Aditya Birla Capital, and others.
RazorPay plans to utilize the fundings to launch new products for its neo-banking business Razorpay X and Razorpay Capital; it’s lending business. It seeks to double its growth in the upcoming year while hiring 500 new people across different functions.