Japan-based payments and e-commerce platform hey announced that it has raised a Series E funding round led by Bain Capital Tech Opportunities, the tech-focused investment arm of US-based private equity firm Bain Capital.
hey did not disclose the amount it raised in the latest round but said the financing was backed by PayPal Ventures, Goldman Sachs, YJ Capital, Anatole, and existing investor World Innovation Lab.
Established in 2018 by the merger of mobile point of sale terminal business Coiney and ecommerce platform Stores.jp, hey provides end-to-end support for businesses that seek to keep virtual storefronts and accept in-person payments.
The company said it will use the fresh funding to serve this growing market.
“Partnering with Bain Capital as well as PayPal Ventures and leveraging their global platform and deep payments and e-commerce experience will enable us to meet the growing demand for dynamic, remote shopping experiences for Japanese consumers,” said Yusuka Sato, president of hey.
Additionally, hey announced that it has acquired Coubic, an emerging consumer-facing reservations platform that will help the company further scale and diversify into adjacent categories.
The company operates in a market that is in the midst of a generational transition to a more modern, digital consumer economy. hey said the current coronavirus pandemic has driven an acceleration in consumer and merchant demand for mobile payment options as a frictionless alternative to cash.
Commenting on the investment, Darren Abrahamson, Managing Director at Bain Capital Tech Opportunities, said hey developers integrated mPOS and ecommerce solutions that enable Japanese merchants to engage with and sell to consumers across the country, even those using legacy payment methods.
Bain Capital Tech Opportunities focuses on companies in large, growing end markets with innovative or disruptive technology. Its portfolio includes online training platform A Cloud Guru, fraud prevention firm BioCatch, and technology design house Hudl.