Drip Capital Secures $113 Million Funding to Fuel Growth and Product Development

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Drip Capital Secures $113 Million Funding to Fuel Growth and Product Development

Drip Capital Secures $113 Million in Funding

US-based trade finance platform Drip Capital, with a significant presence in India, has secured $113 million in funding through a mix of debt and equity. The company announced the news on Thursday, highlighting the participation of prominent investors.

The funding round includes a $23 million equity investment from Japanese institutional investors GMO Payment Gateway and Sumitomo Mitsui Banking Corporation (SMBC). Additionally, Drip Capital secured $90 million in debt financing led by the International Finance Corporation (IFC) and East West Bank.

"We have raised $113 million which is a mix of debt and equity investment. Japanese institutional investors GMO Payment Gateway and Sumitomo Mitsui Banking Corporation (SMBC) have invested $23 million in equity while $90 million in debt financing has been led by the International Finance Corporation (IFC) and East West Bank," said Drip Capital Co-Founder and CEO Pushkar Mukewar.

Drip Capital focuses on financing trade worth $1.8-2 billion annually, with a significant portion of its business originating from India. "We fund merchants when the shipments leave Indian shores," Mukewar explained.

The latest funding will fuel the company's market expansion and support the development of new products tailored to customer needs. "We have quadrupled our revenue in the last two years and expect to double it in the past two years. We have achieved cash profitability and expanded our business during this period. We are excited to welcome our new investors and, alongside our existing investors and debt partners, are ready to drive our next phase of growth," Mukewar added.

Drip Capital has raised a total of $640 million in equity and debt funding to date. Its equity investors include Accel, Wing, Transpose Platform, Peak XV Partners (Sequoia India), Sumitomo Mitsui Banking Corporation (SMBC), GMO Payment Gateway, and Y-Combinator. Debt financing has been secured from financial institutions like IFC, Barclays, and East West Bank.