Commercial payments companies’ bag $291 million in funding
Venture capitalists are continuing to pour funds into commercial payments companies. The latest commercial payment firms to secure new investments are Veem, Thunes and dLocal.
California-based payments company, Veem bagged $31 million in capital raise led by Truist Ventures, which is a corporate venture capital division of Truist Financial Corporation. According to the company, this funding would be used towards the development of a channel partner program and that would help widen the company’s footprint.
Veem was one of the early distributing partners of Mastercard Track Business Payment Service which was launched in May 2020.
“[Veem’s] proprietary multi-rail technology enables connections between businesses and their vendors, suppliers and contractors through a service that is easy to use and more cost effective than legacy cross-border B2B payment options—capabilities that our clients need.” said Vanessa Vreeland, head of Truist Ventures.
The round was led by MUFG Innovation Partners Co. Ltd, AB Ventures, Paper Excellence and Myer Family Investments. Existing investors that participated in this round include GV, Goldman Sachs, Kleiner Perkins, Silicon Valley Bank, National Australia Bank Ventures and Trend Forward Capital.
Another non-bank payments company Thunes, which is based out of Singapore, has raised $60 million in Series B round from Helios Investment Partners, Checkout.com, GGV capital and Future Shape. This funding will be utilized towards the expansion of the company’s base in Africa, Asia and Latin America. The expansion of team and product offering will also be done using the funds raised.
The largest funding was raised by dLocal from its existing private equity investor General Atlantic. With the raising of $200 million in the latest funding, the company is now valued at $1.2 billion. According to the press release, the company is targeting 13 new markets over the next 18 months which includes areas such as Central America, Africa and South Asian nations.
With the total funding of $291 million last week, the total funding bagged by commercial payment companies stands at $1.47 billion this year. A week before that, Melio and Neon Pagamentos raised $144 million and $300 million respectively.