Ramp, the US-based provider of a corporate card for managing spending, collected $300m of series C funding from investors including payment technology provider Stripe yesterday at a $3.9bn valuation.
Venture capital firm Founders Fund led the round, investing with Redpoint Ventures, Thrive Capital, D1 Capital Partners, Spark Capital, Coatue Management, Iconiq Capital, Altimeter Capital, Vista Equity Partners’ Vista Public Strategies unit, Lux Capital, A* Partners, Definition Capital, Honeycomb and Kinetic Ventures.
Ramp operates a spend management software platform and provides corporate cards designed to help businesses to save time and money.
The company claims more than 2,000 businesses in the US are using its platform to manage their spending. The capital injection will speed up the development of a finance automation platform intended to help businesses increase financial efficiency.
Alongside the series C round, Ramp announced the acquisition of US-based digital negotiation service provider Buyer for an unspecified amount. The company has now raised over $620m in debt and equity financing since it was founded in 2019.
Ramp closed its $115m series B round in April 2021 at a $1.6bn valuation. The $65m first close was led by investment firm D1 Capital Partners before Stripe led a $50m tranche.
That round was also backed by investment bank Goldman Sachs, Coatue, Founders Fund, Thrive Capital, Redpoint Ventures, BoxGroup, Neo and Contrary Capital. Ramp had raised $30m in a December 2020 round co-led by D1 Capital and Coatue that also featured Founders Fund and unnamed existing investors.
In February 2020, the company picked up $25m of funding from Founders Fund, Coatue, BoxGroup, Conversion Capital, Soma Capital, Backend Capital and assorted angel investors. Founders Fund, BoxGroup and Coatue had supplied $7m for Ramp six months earlier.