London-based global payment solution provider Checkout.com announced on Monday that it has raised $150 million in a Series B funding round at a valuation of $5.5 billion.
The Series B funding was led by New York-based technology hedge fund Coatue, with participation from the firm’s existing investors including American investment firm Insight Partners, venture capital firm DST Global, London-based Blossom Capital, and Singapore’s sovereign wealth fund GIC.
Proceeds of the new round will be used to further strengthen its balance sheet, bringing the company’s available cash to over $300 million. Checkout.com will also invest in the development of new innovative products, including its upcoming Payouts solution and the capability to accelerate settlement times.
The eight-year-old company offers corporate customers global payment processing and direct access to domestic acquiring across payment methods and geographies through an integrated platform.
Besides online payment, the platform also provides offerings such as advanced data features, fraud management tools, and comprehensive reporting. It serves clients like Grab, Revolut, Careem, Glovo, Robinhood, Farfetch, Klarna and Remitly.
Checkout.com, which has been profitable since 2012, saw the transaction numbers on its online payment platform increased by 2.5 times in May 2020 as compared with that of May 2020 as businesses have rapidly pivoted online amid global lockdowns brought by the novel coronavirus.
The company raised $230 million in what it claimed to be the largest fintech Series A round in Europe in May 2019.
Led by Insight Partners and DST Global, the previous round was also backed by investors including GIC, Blossom Capital, and Endeavor Catalyst, the co-investment fund of US-based entrepreneurship organization Endeavor Global.
Checkout.com processes over 150 currencies and offers access to all international cards and popular local payment methods to merchants through its proprietary integrated platform. The company now employs over 750 staff across 13 offices globally.
Earlier this year, Checkout.com acquired two businesses including French payment optimization startup ProcessOut in February and Australian online payment system Pin Payments in May.
“The way money moves into and out of businesses is changing rapidly. I believe that by solving financial complexity, you can radically unlock innovation – starting with digital payments,” said the company CEO and founder Guillaume Pousaz in a statement. “At Checkout.com, we’ve built a technical architecture that enables pioneers to reinvent industries and redefine their relationship with consumers.”