Fintech co Rapyd raises $300m at $8.75b valuation

Rapyd billboards Photo: Rapyd
Rapyd billboards Photo: Rapyd

Rapyd has more than tripled its valuation since its last financing round in January to become Israel's most valuable, privately-held tech company.

Israeli fintech company Rapyd has announced that it has completed a $300 million Series E financing round. The entire sum will be for investment in the company with no secondary offering by current shareholders.

Rapyd declined to disclose the valuation of the financing round but market sources estimate that the valuation is about $8.75 billion. This would make Rapyd the most valuable privately held Israeli startup, surpassing Gong, which raised $250 million in June at a valuation of $7.25 billion.

Rapyd raised $300 million in its Series D financing round in January at a valuation of $2.5 billion, meaning that its valuation has more than tripled in just eight months. According to PitchBook, Rapyd was worth $5 billion in April.

The latest round was led by Target Global with participation of new investors including funds managed by Fidelity Management and Research Company, Altimeter Capital, Whale Rock Capital, BlackRock Funds, and Dragoneer, along with existing investors: General Catalyst, Latitude, Durable Capital Partners, Tal Capital, Avid Ventures, and Spark Capital.

Rapyd has developed a platform allowing swift local payments anywhere in the world, enabling companies across the globe to access markets quickly. By utilizing Rapyd's payments network and Fintech-as-a-Service platform, businesses and consumers can engage in local and cross-border transactions in any market. The Rapyd platform is unifying fragmented payment systems worldwide by bringing together 900-plus payment methods in over 100 countries. 

With offices in Tel Aviv, London, San Francisco and Singapore, the company was founded in 2015 as Cashdash by CEO Arik Shtilman, VP R&D Arkady Karpman, and VP business development Omer Priel.

Shtilman said, "Enabling digital payments has become one of the most fundamental business needs across every industry as the past year and a half have irrevocably demonstrated. Being in a position to help companies enhance their ability to serve customers and expand their reach across global markets is both a tremendous responsibility and an extraordinary opportunity. We are grateful to our investors for acknowledging the new needs of our ecosystem and supporting our aspirations."

He added,"We plan to use the funding to continue to build out our global fintech as a service platform and invest in strengthening our network capabilities worldwide. We will continue to expand our presence across high-growth markets in Europe, Asia-Pacific, the US, and Latin America, where Rapyd's platform can support businesses looking to grow internationally. We are doubling down on our channel partnerships strategy, strengthening our footprint across major high-growth markets, and exploring additional acquisitions that serve our strategic goals."

After acquiring Icelandic payment solutions company Valitor for $100 million last month, Rapyd says it plans to use the latest funding to make several more strategic acquisitions to both support expansion in key markets and grow payment products and experiences. 

Published by Globes, Israel business news - en.globes.co.il - on August 3, 2021

© Copyright of Globes Publisher Itonut (1983) Ltd. 2021

Rapyd billboards Photo: Rapyd
Rapyd billboards Photo: Rapyd
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