Rapyd Financial Network Eyes $300 Million Funding at Lower Valuation
Rapyd Financial Network is exploring a $300 million investment at a $3.5 billion valuation, a significant reduction from its previous $9 billion valuation in 2021. The funding will reportedly be used for acquiring a payment processing startup.
Rapyd's digital cross-border payment platform competes with Stripe Inc. and has expanded its reach through acquisitions, including the purchase of units from PayU, Neat, and Valitor.
The company's aggressive acquisition strategy aims to establish dominance in the financial sector. However, Rapyd's fundraising efforts reflect a broader trend among startups raising money at lower valuations due to the funding drought.
PitchBook data shows that flat or down rounds accounted for 27% of deals in the first three quarters of 2024, the highest proportion in over a decade.
Founded in 2016, Rapyd has offices in London, Tel Aviv, and other locations. Previous investors include Target Global, Tal Ventures, General Catalyst, and Durable Capital Partners.