This week, fintech company HighRadius announced that they have raised an additional $300 million in Series C funding. The latest round of funding marks another important milestone for the company, putting its evaluation at over $3.1 billion. The company’s evaluation has tripled in just over a year, with HighRadius being valued at just over $1 billion during the previous round of funding in January 2020. Previous backers ICONIQ Growth and Susquehanna Growth Equity led this round of funding, bringing with them a group of new investors with decades of investment experience in the technology sector. HighRadius has stated that most of the $300 million will be used “to fuel product innovation and expand global go-to-market reach.”
Software to Optimize Payment Processes
HighRadius is a Software-as-a-Service (SaaS) company that creates software for organizations to use for Order-to-Cash purposes. Through this software, organizations are able to automate many of the complex receivables and payments processes. By streamlining the credit, and billing processes, organizations are able to optimize their working capital. The automated software drastically lowers the amount of manual work required to clear invoices through the system, resulting in a reduction in costs associated with time and staff. The software created by Houston-based HighRadius is currently used by 600 clients, 200 of which are in the Fortune Global 1000. Notable clients include Nike, Walmart, and Uber.
Aside from the Order-to-Cash purpose, the company also offers Treasury Management software to corporate clients. HighRadius works with banks to modernize their treasury operations by offering solutions to help digitalize processes. Features included in their software include touchless cash management, accurate cash forecasting and seamless bank reconciliation. Using machine learning and Artificial Intelligence, the software is able to make predictions and make routine transaction processes quicker and more efficient.
Focus on Global Growth
With the new money raised, the company is hoping to continue investing in innovative technologies and ideas to create new products while also improve its current offerings. In addition, HighRadius is also hoping to continue its global expansion. In previous rounds of funding, money has been used to target the European market, with a specific focus on the United Kingdom. The Asian Pacific and Latin America have also previously been an area of focus of the company as well. The previous round of funding raised in January 2020 was used to increase hiring and expand their presence in Europe as well as Canada. The company currently has offices in Houston, London, Amsterdam and Frankfurt, which together employ approximately 2,000 staff.
The company has hinted at plans to eventually go public via an IPO. CEO Sashi Narahari has indicated an interest in bringing the company public sometime in 2022. The speculation and anticipation for a potential IPO has existed for years, with talks surrounding a potential public offering starting back in 2018. Narahari has said that he believes in the long-term vision of the company and hopes to attract large investors who share a similar focus.