Financial-technology firm Cashfree, which focusses on online payments by Indian businesses, said State Bank of India (SBI) has invested an undisclosed amount as the country’s largest lender looks to promote digital payments.
Cashfree, which was set up by Akash Sinha and Reeju Datta in 2015, operates lines of businesses including a payments gateway and Payouts, a bulk disbursal solution that helps companies instantly send money to bank accounts, cards, and UPI accounts.
“We are excited about our partnership with the country’s trusted and leading lender SBI. The investment from India’s largest bank shows its trust in Cashfree’s innovation and the way we are rapidly scaling up the payments business,” Sinha, co-founder and chief executive of Cashfree, said.
“The investment fits perfectly with our growth strategy as we continue to focus on customer experience and product innovation,” Sinha added.
In November last year, Bengaluru-based Cashfree raised $35 million (Rs 255.5 crore) in a Series B fundraising round led by Apis Growth Fund II, managed by Apis Partners LLP, which makes private equity investments across growth-stage financial services and infrastructure businesses. Other participants in the round included existing investor Y Combinator.
The company used the capital for supporting its growth plans including the development and launch of new products, it said.
In April 2019, the payment gateway had raised $5.5 million in its Series A funding round led by South Korean venture capital firm Smilegate Investment to expand its team and distribute its API banking platform.
Supported by payments pioneer PayPal, Cashfree counts food delivery startup Zomato, credit card payment platform CRED, Cosmetics firm Nykaa, logistics firm Delhivery, among other companies its clients.