[Funding] GIC and Sequoia Capital lead Series D fund of $100 million in Razorpay (now a Unicorn!)

Razorpay has raised a $100 million financing round led by GICand existing investor Sequoia Capital. With this fundraise, the company will reach the $1 billion valuation. This will make it the first Indian neo-bank to hit that benchmark. Existing investors include Ribbit Capital, Tiger Global Management, startup accelerator Y Combinator and Matrix Partners India. They have also participated in the latest equity financing round.

“India has made significant strides in establishing a digital payments ecosystem. Razorpay has established itself as a clear leader, with its strong focus on customer experience and product innovation. GIC has a long track record of partnering with leading fintech companies globally. Thus, it is our delight to partner with Razorpay in its journey to transform payments and banking,” said Choo Yong Cheen, chief investment officer for private equity at GIC.

About Razorpay

IIT Roorkee alums Harshil Mathur and Shashank Kumar found Razorpay in 2014. Harshil articulates Razorpay’s vision well: “Our purpose is to create products that help businesses track and move money.” Razorpay offers a fast, affordable and secure way for merchants, schools, eCommerce and other companies to accept and disburse payments online. They can also own a fully-functional current account and avail working capital loans.

It gives you access to all payment modes including credit card, debit card, net banking, UPI; also popular wallets including JioMoney, Mobikwik, Airtel Money, FreeCharge, Ola Money and PayZapp.

The funding also comes with a major milestone, as Razorpay has become the newest unicorn in India.

The round is completely primary in nature, according to Mathur. The company will, further, utilize the proceeds to build RazorpayX and RazorpayCapital. The former is a business banking platform and the latter is the SME-focus lending platform. Till date, the company has raised about $206.5 million in funding across rounds. It also plans to hire more personnel for its product, engineering and design teams.

From Sequoia Capital

"The entire team at Sequoia Capital India is stoked to have partnered with Razorpay in their mission to revolutionize finance for online businesses. We are big believers in this vision and Sequoia India is excited to deepen its partnership with Razorpay by leading the company’s Series D round." Ishaan Mittal, Growth Investor at Sequoia Capital stated in a blog.

Read More: CxO of the Week: Arif Khan, Chief Innovation Officer, Razor pay