Weeks after formally launching its operations in the Philippines, Payoneer, an innovative digital payments company transforming the way businesses send and receive cross-border payments, has announced that it has completed the first closing of a significant growth equity financing. TCV led the round and was joined by existing investor Susquehanna Growth Equity. Proceeds from the financing will be used to accelerate global growth and to enhance an already strong and debt-free balance sheet.
In addition to its investment in a newly issued preferred stock, TCV has also committed to purchase shares from existing shareholders, pending regulatory approval and other customary closing conditions.
“TCV shares our belief that we can make a difference by empowering entrepreneurs throughout the world by offering them tools and solutions to participate, compete and succeed in the global economy.
TCV’s connections with fast growing e-commerce marketplaces, global brand-building expertise and its long-term investment philosophy are the perfect fit for Payoneer and will help us propel our growth in the years to come,” Payoneer CEO Scott Galit stated.
Proceeds from the financing will be used to accelerate global growth and to enhance an already strong and debt-free balance sheet.
“Payoneer’s scale and global reach, along with its proprietary compliance infrastructure, allow it to differentiate itself in the field of international payments. We think Payoneer’s superior growth trajectory, increasing profitability and huge addressable market make it an ideal investment,” Nari Ansari, Principal at TCV, noted.
Payoneer’s global expansion includes opening an office in the Philippines, a country with a rapidly growing outsourcing and export market. The New York-based digital payments firm supports cross-border payments not just to giant entities such as Google, Amazon, Upwork and Airbnb, but also to millions of small businesses across the world including the global online outsourcing industry. The Philippines, contributing about 18.6% to the global online workforce, is named among the top five countries for online outsourcing.
“The significant size of the investment shows the confidence that investors have in Payoneer’s vision of empowering businesses, big or small, to conduct global transactions with ease and security. Payoneer views the Philippines as a strategic market that will warrant further expansion and this will, in turn, benefit our country’s growing freelance and online outsourcing industry,” Miguel Warren, Payoneer Country Manager, stated.
The investment follows a year of strong momentum for Payoneer, having opened new offices not just in the Philippines but also in its key growth markets in India and Japan. It has also partnered with global marketplaces and networks Rakuten.com, Linio, Cdiscount, Tradedoubler and CJ Affiliate by Conversant and launched new billing and escrow services.
