Address

Precise Investors

Sunday, June 20, 2021
Latest News

UK digital payments firm GoCardless raises $95m in funding

GoCardless

GoCardless said its revenue rose 46% from November last year to last month

British digital payments firm GoCardless has raised $95 million in an investment round led by Bain Capital Ventures, the company said on Thursday.

The startup will use the cash injection to invest in its open banking strategy, enabling more businesses to accept bank-to-bank payments and replacing more costly card transactions, it said.

London-based GoCardless processes direct debit payments, which are recurring transactions withdrawn directly from a consumers’ bank account. Clients include businesses such as those charging monthly subscriptions or offering instalment payments.

The deal brings the total funding raised by the company to $240 million.

It comes as digital payment companies have seen transaction volumes boom during the coronavirus pandemic, with global lockdowns pushing more commerce and business online.

GoCardless, which processes $18 billion in payments annually across more than 30 countries, said its revenue rose 46% from November last year to last month.

We showed resilience through this challenging period, said Hiroki Takeuchi, CEO and co-founder of GoCardless. We believe that open banking is set to disrupt the payment landscape by introducing new, simpler and more secure ways of making bank-to-bank payments that will compete with the traditional card networks.

The deal marks the first investment in a European fintech by Bain’s VC arm, which has been a prolific investor in startups in the sector in the United States.

We like to see this as a flagship investment in European fintech, said Matt Harris, a partner at Bain Capital Ventures.

He said GoCardless was well placed to benefit from a shift away from debit and credit card payments and had seen strong early results expanding its international footprint.

Important:

The articles are for information purposes only and Precise Investors shall not be held responsible for any errors, omissions or inaccuracies within it. Any rules or regulations mentioned within the website are those relevant at the time of publication and may not be the most up-to-date.

Precise Investors does not endorse any of the products or services that appear on it or are linked to it and are not liable for any action that you may take as a result of the content of this website, or losses or damage you may incur doing so.

There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.

Please remember that investments of any type may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.

Leave a Reply

one + ten =