Indian Payment gateway, Razorpay has become the latest fintech unicorn by raising $100 million in its latest funding round which was led by Singapore’s sovereign wealth fund GIC and current investor Sequoia India. It is now a part of the exclusive club of start-ups valued at more than a billion dollars.
Razorpay's existing investors including Ribbit Capital, Tiger Global, Y Combinator and Matrix Partners also took part in the Series D round. It raised $206.5 million since its inception in 2014, including $75 million in the previous round of fundraising in the previous year.
Razorpay is now the fifth Indian fintech firm to bag the ‘unicorn’ status after online payment gateway BillDesk, Flipkart-owned PhonePe and insurtech startup PolicyBazaar, which were all valued at over $1 billion during 2018.
Paytm became a part of the Unicorn league in 2014 and termed India's most valuable startup, valued at $16 billion.
The Bengaluru-based company plans to use these funds to launch products on its neo-banking arm, Razorpay X and its lending arm Razorpay Capital, with a focus to multiply their growth in the coming year.
It will also be recruiting 500 people across growth, product and technology functions.
Razorpay offers payments and other financial facilities to help businesses manage their money flow.
India In Focus:
Population - 1.366 billion (Compared to South Africa's 59.6 million)
GDP: $2.87 trillion (Compared to South Africa's $369.85 billion)
GDP Per Capita: $2,130 (Compared to South Africa's $6,193)