Payment gateway startup Cashfree has scooped up $35.3 million in its Series B round led by London-based private equity fund Apis Partners’ Apis Growth Fund II. Existing investors Y combinator and Smilegate Investments also took part in the round.
Last month, Entrackr had exclusively reported about Cashfree’s Series B round. With this, the Bengaluru-based firm has aggregated over $41 million across institution rounds including $5.5 million Series A funding led by Korea’s Smilegate in November 2019 and $120K seed round in October 2017.
The firm will utilise the fresh capital for enhancing the product and technology. Moreover, it also looks to develop new product verticals and make strategic investments. According to the company, its valuation has reached around $200 million.
The five-year-old startup launched by Akash Sinha and Reeju Datta processes online payments for over 50,000 large and small businesses through over half a dozen products including payment gateway, payouts, auto collect, UPI stack and marketplace settlement.
The firm has rolled out payment APIs for some of the top companies such as Delhivery, Bigbasket, Acko, CRED, Dream11, Dunzo, Xiaomi, HDFC and Zomato.
Cashfree is the only Indian startup in the payment gateway space to post profitability for three consecutive fiscal years. It had posted Rs 1.4 crore and Rs 4.1 crore profit after tax in FY18 and FY19 respectively. The company’s unaudited financials for FY20 also claimed it clocked Rs 100 crore in revenue and Rs 19.5 crore profit after tax.
Cashfree claims to have processed over $12 billion annualised payments as of March 2020. The firm competes with the likes of Razorpay, Paytm, Billdesk, CC Avenue, and PayU. Last month, Sequoia-backed Razorpay scooped up a $100 million round led by Singapore-based GIC to enter the coveted unicorn club.