AAA Payoneer to break new ground in $180m round

Payoneer to break new ground in $180m round

Payoneer, a US-based cross-border payments platform operator backed by insurance group Ping An, reached the first close of a $180m financing round yesterday led by growth equity firm Technology Crossover Ventures (TCV).

Private equity group Susquehanna Growth Equity (SGE) also participated in the funding, having initially invested in Payoneer as part of a $25m series D round in early 2014, which it led.

Founded in 2005, Payoneer has built a digital platform that enables users to make quick cross-border payments. It also provides a mass payout service through which businesses can transfer money to many beneficiaries at the same time.

Payoneer will invest the round’s proceeds in international expansion, following a year when it opened offices in India, Japan and the Philippines.

In addition to its investment, TCV plans to buy secondary shares from existing investors, though it has provided no details as to who may sell.

Scott Galit, chief executive of Payoneer, said: “TCV shares our belief that we can make a difference by empowering entrepreneurs throughout the world by offering them tools and solutions to participate, compete and succeed in the global economy. 

“TCV’s connections with fast growing e-commerce marketplaces, global brand-building expertise and its long-term investment philosophy are the perfect fit for Payoneer and will help us propel our growth in the years to come.”

Payoneer had raised approximately $39m from SGE, Carmel Ventures, Vintage Venture Partners, Nyca Partners and 83North through March 2014 before Ping An invested an undisclosed amount in June the same year as part of a strategic partnership agreement.

SGE and Wellington Management subsequently paid $50m in August 2015 to acquire shares from undisclosed investors.

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