Digital payments platform provider Payoneer has announced today that it has completed the first closing of a significant growth equity financing totaling $180 million. Late stage venture capital investor Technology Crossover Ventures (TCV) led the round, and was joined by existing Payoneer investor Susquehanna Growth Equity.
We had reported last year that Payoneer had raised $50 million, led by Wellington Management Company.
Proceeds from the latest financing round will be used to accelerate global growth and to enhance the company’s balance sheet, which currently has no debt.
Payoneer clients include Amazon, Google, Airbnb, UpWork and Getty Images, which each use Payoneer’s mass payout services. Payoneer is based in New York, although most of its employees are in Israel.
Notable TCV investments include Facebook, Expedia, GoDaddy, Netflix, Spotify, Zillow, GoFundMe, among many others.
In addition to its investment in a newly issued Payoneer preferred stock, TCV has also committed to purchase shares from existing shareholders, pending regulatory approval and other customary closing conditions.
Scott Galit, CEO of Payoneer, stated,
TCV shares our belief that we can make a difference by empowering entrepreneurs throughout the world by offering them tools and solutions to participate, compete and succeed in the global economy. TCV’s connections with fast growing e-commerce marketplaces, global brand-building expertise and its long-term investment philosophy are the perfect fit for Payoneer and will help us propel our growth in the years to come.
The investment follows a year of strong momentum for Payoneer, having opened new offices in its key growth markets of India, Japan and the Philippines, partnered with global marketplaces and networks Rakuten.com, Linio, Cdiscount, Tradedoubler and CJ Affiliate by Conversant and launched new billing and escrow services.
Woody Marshall, General Partner of TCV and new Payoneer board member said:
We have been watching Payoneer’s rapid growth for several years and have appreciated their ability to execute a unique business strategy aimed at empowering SMEs and leading digital platforms around the world to reduce the friction they face sending and receiving global payments.