Razorpay Raises $11.5 million in Series A Funding
Bangalore, October 27, 2015: Razorpay, an online payment gateway solution, announced today its series A funding of $9 million, led by Tiger Global along with participation from Matrix Partners. Razorpay also announced its earlier Seed round of 2.5 Million USD from Matrix Partners, Y Combinator and angel investors including Kunal Bahl & Rohit Bansal (Snapdeal founders), Punit Soni (Flipkart CPO), Abhay Singhal, Amit Gupta & Naveen Tewari (Inmobi founders), Kunal Shah & Sandeep Tandon (Freecharge founders), Bill Gajda (SVP, Global Head of Innovation, Visa), Jeff Huber (SVP, GoogleX), Ram Shriram (Board member and an early investor in Google), Justin Kan (YCombinator partner and Twitch Founder), in total 33 angel investors. This brings the total to $11.5 million.
Razorpay accepts and validates Internet payments via Credit/Debit Cards, Net Banking and popular digital wallets from the end customers in real-time. Razorpay provides a secure link between merchant website, various issuing institutions, acquiring Banks and other payment networks. In just 1 year, Razorpay has made great progress and has made life easier for small businesses and startups as far as accepting payments are concerned. Few of its customers include: RoadRunnr, Lookup, Gozefo, Innerchef, Teen Patti Gold, LocalOye, UrbanPiper, Instafeez, Neostencil, Chai Point & Sattviko along with 1800+ other customers. The simple and robust Razorpay platform is highly recommended by many due to their superfast and completely online onboarding of merchants, easy and hassle free integration and powerful Android & iOS SDKs for mobile payments. With support for international payments, 50+ banks, popular digital wallets and a 24x7 support team, Razorpay is fast becoming the de facto choice for payments.
On the occasion, Harshil Mathur, Co-Founder, Razorpay, said, "We believe that the online payments infrastructure in India has not developed at the same pace as the rest of the e-commerce and m-commerce eco-system. The fact that we have been backed by marquee investors, e-commerce entrepreneurs with amazing track record and other leaders in the payments eco-system has reinforced our belief that the Indian payment space was in much need of a technology-focused solution. We intend to deploy the funds for scaling up the product, building the right team and for strategic forays into the online payments industry."
Shashank Kumar, co-founder, Razorpay, added, "We are building the next generation payments infrastructure which will accelerate the future e-commerce growth in India. Our patented technology will greatly help in achieving higher transaction success rates and faster checkout time especially on mobile devices while making payment gateway integration as easy as embedding a few lines of code. The funding raised will help us accelerate the company's robust growth and future success."
"Digital payments is a very large opportunity and it is still early days for the industry in India. Transaction success rates are still very low and it is still difficult for smaller merchants to accept online payments. We believe in Harshil and Shashank' s vision of taking a technology first approach and are excited about partnering with them. We remain extremely positive on Fin-Tech in India and will take multiple bets in the space." said, Vikram Vaidyanathan, Managing Director, Matrix India
Razorpay, backed by Y Combinator, was started in 2014 by Shashank Kumar and Harshil Mathur, both alumni of IIT-Roorkee. Razorpay is on a mission to simplify online payments in India through a clean, easy-to-use and developer friendly payment gateway. Accepting online payments in India involves a lot of paperwork and bureaucratic red tape. Razorpay's effective and easy to integrate checkout form is what bridges the 2-tier problem, at both the developer's and customer's end. The integration takes less than 20 minutes and the checkout form provides a simplified and easy experience to the customers.
Razorpay aims to revolutionize the online payments by providing simple, affordable and secure way for small businesses, startups and other traditional SME organizations like schools, colleges and training centres to start accepting online payments. The team found that the existing US-based payment systems are unsuitable for companies who wish to accept payments in India. For a long time they felt that enabling frictionless transactions is a major problem and nobody seems to be doing it right, hence they started Razorpay!
About Matrix Partners India:
Matrix Partners India is an investment firm with INR 3,000 crore under management. The firm invests in companies targeting the Indian consumer market at the seed, early and early growth stages. The firm has invested in several market leading companies including Dailyhunt (local language mobile platform), Housejoy (local services marketplace), Mswipe (mobile POS), Ola (local transportation marketplace), Practo (healthcare app), Quikr (online local classifieds marketplace), Stayzilla (short term accommodation marketplace), TinyOwl (food ordering app), Woo (social matchmaking) among others. Matrix Partners has a global network of funds investing in the US, China and India with US $3 billion under management. Further information is available at www.matrixpartners.in
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