Payoneer Raises $180 Million in Series E Funding
Payoneer, one of the leading players in the US fintech market, has managed to raise $180 million in its Series E round of funding, from venture capitalist Technology Crossover Ventures. The new infusion takes the total amount invested in the company to a whopping $280 million. Going by the speculation and response of such a phenomenal industry, the valuation of the company may be of the order of billions.
After the announcement, CEO Scott Gulit, stated that the fresh infusion will be used for ongoing expansion of the company operations. With small and medium enterprises (SME) being one major chunk of clientele for Payoneer, there is huge opportunity brimming — almost 350 million SMEs exist in the emerging markets. Building the bridge between developed markets and such developing economies to make businesses go truly global, seems to be one of the key lookouts for the company.
About two years ago, it was rumoured that Payoneer would go for an initial public offering of the value of $700m, but it opted for another private funding round instead.
Payoneer was founded in 2005 by Yuval Tal and is headquartered in New York City. The fintech company mainly plays in two domains — firstly overseas payment enablement for small and medium businesses, and secondly eCommerce payments for suppliers. Online money transfer is its forte and it has helped the likes of Google, Facebook and Amazon, pay their suppliers across borders.
The company identified the need for an easy and instant boundary-less payment system after recognizing that the world is turning increasingly global, connected and digitally driven. Hence, it becomes necessary to propel financial transactions also in a virtual environment to help businesses avail the benefits of digitization. Such technological advancements are still on the first leg to transform traditional banking procedures, and that is where Payoneer has stepped in. Thus, allowing for global collaboration and transactions are the premise on which the payments provider has grown.
Payoneer has a methodical approach to its strategies, thanks to industry insights generated by its research centre in Tel Aviv. Its client base exceeds 200 in number, many of them Fortune 500 companies. The company has an employee strength of 800 and it recently opened new workspaces in India, Japan and the Philippines.