Trade Finance Platform Drip Capital Raises $175M in Series C

Digital cross-border trade finance platform Drip Capital raised $175 million, including $40 million in a Series C funding round and $135 million in warehouse debt facilities, according to press release on Thursday (Oct. 28).

The Series C was led by TI Platform, along with participation from new and existing investors including Accel, Sequoia, Wing VC, Irongrey and GC1 Holdings. Drip Capital also obtained $135 million in debt facilities from Barclays Investment Bank and East West Bank. Drip has raised $525 million to date.

See also: Details Important in Trade Finance Funding

Headquartered in Silicon Valley and Mumbai, the startup was founded in 2016 by Pushkar Mukewar, who also serves as CEO, and Neil Kothari, also a board member. Drip uses machine learning and cloud technology to back the cross-border transactions of small- to medium-sized businesses (SMBs).

The firm offers collateral-free credit to companies in India, Mexico, and the U.S., and has financed over $2 billion in global trade transactions. It works with 3,500 buyers and sellers in more than 80 countries.

Read more: Drip Capital Aims To Create Trade Finance Network For Cross Border Buyers, Suppliers

Alex Bangash, managing partner of TI Platform, said in a statement that Drip is a leader in the global trade finance sector, which is forecast to be a $10 trillion market by 2026. Judging by Drip’s “strong unit economics, powerful tech-driven underwriting, and growth trajectory,” TI Platform is eyeing Drip as a solid contender for “breakaway upside.”

Drip raised $25 million in a Series B funding round led by existing investor Accel, with participation by new investors Trusted Insight and GC1 Ventures and existing investors Wing VC, Sequoia Capital India and Y Combinator. The startup’s 2018 Series A funding was led by Accel, Sequoia India, Wing VC and others.