PayU, the payment processing subsidiary of media and e-commerce group Naspers, is set to lead a series D round for US-based remittance services provider Remitly that could reach $115m, Remitly announced today.
Private equity and venture capital firm Stripes Group will also participate in the round, as will VC firms DFJ and DN Capital. Laurent le Moal, chief executive of PayU, will join Remitly’s board of directors.
Remitly has built an online platform that facilitates money transfers between users in developed nations and those in developing markets that is intended to make the process quicker, easier and more affordable.
The company claims some $4bn of funds a year are transferred using its platform. Le Moal said PayU plans to help Remitly expand through the utilisation of its international network and local knowledge, citing India as an example of a market where it could assist.
Matt Oppenheimer, co-founder and CEO of Remitly, said: “Naspers’ PayU has a strong track record investing in and building payments businesses in high growth markets around the world that will be key as we continue our international expansion.
“This capital will supercharge our growth and help transform the lives of those who require cross-border transactions, including immigrants, by allowing us to offer them fundamentally better financial services.”
Remitly had previously raised approximately $99m in venture capital, most recently closing $38m in debt and equity financing from Silicon Valley Bank and International Finance Corporation, the private investment arm of the World Bank, in October 2016.
Stripes Group, which led Remitly’s $38.5m series C round in April 2016, is also an existing backer, as are DFJ, DN Capital, Vulcan Capital, Trilogy Equity Partners, Bezos Expeditions, QED Investors, TomorrowVentures, Founders Co-Op and various individual investors.