Digital lending platform operator Upstart led a $145m series E round yesterday for Tala, a US-based microfinance provider focusing on emerging markets, bringing its total funding to over $350m.
Upstart was joined by digital payment processor PayPal’s corporate venturing unit, PayPal Ventures, as well as conglomerate J Safra Group, financial non-profit organisation Stellar Development Foundation, Kindred Ventures, IVP, Revolution Growth and Lowercase Capital.
Founded in 2011, Tala offers services such as microloans typically sized between $10 and $500 in addition to credit scoring through its mobile platform. The round reportedly valued it at over $800m, according to TechCrunch.
The company will use the proceeds to deploy its new financial account product and develop what it calls one of the first mass-market crypto products for emerging markets, having teamed with Stellar Development Foundation and payments processors Visa and Circle for the project in May this year.
Tala’s $110m series D round was led by RPS Ventures in August 2019 and included Revolution Growth, IVP, Lowercase Capital, Data Collective and Thomvest Ventures.
Revolution Growth had led $50m first tranche of the company’s series C round, in April 2018, which also featured IVP, Data Collective, Lowercase Capital, Ribbit Capital and Female Founders Fund, before PayPal added an undisclosed amount six months later.
IVP had previously led a $30m series B round for Tala in 2017, joining Ribbit Capital, Data Collective, Lowercase Capital, Collaborative Fund and Female Founders Fund.
GV, an investment subsidiary of internet and technology conglomerate Alphabet, took part in Tala’s $10m Collaborative Fund-led series A round in 2015 alongside Mesa Ventures and Lowercase Capital, the latter of which led a $1.2m round in 2013 with the same trio of co-investors.
