AAA Tradeshift procures $250m in series E round

Tradeshift procures $250m in series E round

US-based invoicing software provider Tradeshift secured $250m today in a series E round featuring financial services firm HSBC that valued it at $1.1bn.

Investment bank Goldman Sachs and Canadian state-owned pension fund manager Public Sector Pension Investment Board co-led the round, which included GP Bullhound, H14 and Gray Swan, a venture capital firm established by Tradeshift’s founders.

Tradeshift operates a cloud-based supply chain payments and marketplaces platform aimed at business-to-business transactions.

The company’s offering includes a tool for digital invoicing and accounts payable automation. A second product enables companies to build a personalised marketplace through which employees can access approved and contracted suppliers.

Tradeshift has also developed a virtual credit card for small or infrequent purchases where traditional procurement would be inefficient, and an app store to add third-party functionality from other products, such as PayPal, to the platform.

The company claims it currently connects more than 1.5 million companies across 190 countries, processing more than $500m in transaction value.

The funding will support expansion efforts in Europe and Asia, growing the company’s transaction volume and investing in emerging technologies such as blockchain and artificial intelligence.

Tradeshift has now raised more than $400m, it said. Wipro Ventures, the corporate venturing arm of IT services provider Wipro, invested an undisclosed sum in the company in January 2017 as part of a strategic partnership deal.

HSBC and American Express Ventures, the corporate venturing vehicle formed by payment services provider American Express, had contributed to Tradeshift’s $75m series D round in June 2016, which was led by Data Collective.

Wealth management firm CreditEase’s Fintech Investment Fund, Notion Capital and Pavilion Capital also took part in the series D round, which was followed by an undisclosed amount from Santander InnoVentures, a subsidiary of financial services firm Santander, six months later.

Accounting software producer Intuit supplied $10m for Tradeshift in 2013, while payment services provider PayPal made a 2010 seed investment reportedly worth between $16m and $20m. Tradeshift’s shareholders also include Anzen, Kite Ventures, Ru-Net and Scentan Ventures.

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