• 1800 120 77 88 99

Cashfree in talks to raise $25 Mn at around $150 Mn valuation

Saransh Pandey

Intern
  • October 24, 2020
Share with
    Cashfree was founded by Akash Sinha and Reeju Datta and is the only Indian startup in this space to post profitability for three consecutive fiscal years

Cashfree a payment gateway startup is in advanced talks to raise $20-25 million in a fresh round from new and existing backers. This investment would be a second investment for a payment gateway in India this year. Razorpay recently bagged a $100 million round led by Singapore-based GIC and existing backer Sequoia Capital to enter the unicorn club. 

Apis Partners is a London-based private equity asset manager is one of the new investors. In its Series A round in April 2019, the Y-combinator-backed startup has so far raised around $5.6 million including $5.5 million. Other investors of the Bengaluru-based startup include the Silicon Valley-based accelerator, South Korean venture capital firm Smilegate Investments. 

Former British finance minister George Osborne and managing director of Cholamandalam Investment and Finance Vellayan Subbiah had also invested in their personal capacities. The Series B round is expected to push the valuation of Cashfree to around $150 million. More new investors may partner with the company, as it is in talks with two more investors. 

Cashfree was founded by Akash Sinha and Reeju Datta and is the only Indian startup in this 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 while the company’s unaudited financials claimed Rs 19.5 crore profit after tax in FY20. 

The startup runs over half a dozen products including payment gateway, payouts, auto collect, UPI stack, and marketplace settlement. It has rolled out payment APIs for some of the top companies and startups such as Delhivery, Bigbasket, Acko, CRED, Xiaomi, HDFC, and Zomato. Cashfree competes with Razorpay, Paytm, Billdesk, CC Avenue, PayU among several others. 

Want to subscribe our Newsletter?