Railsr closes its Series C round with $46m
By Edlyn Cardoza
Railsr, the embedded finance platform, has announced that it has closed its Series C round, raising $46million. The Series C fundraising constituted $26 million of equity and $20 million of debt. The equity portion was led by Anthos Capital, who led the Railsr Series B in July 2021, and includes other existing investors spanning Europe, North America, and Asia: Ventura, Outrun Ventures, CreditEase and Moneta. The debt portion of the round was with Mars Capital, a new investor in the company.
“I am absolutely delighted that less than four months after Railsbank evolved to become Railsr, we have achieved another milestone and closed our Series C, a significant step on our route to profitability. We set out to challenge old finance and this is what we will continue to do,” said Railsr’s CEO and co-founder Nigel Verdon. “Our strategy and success to date has come from the way we prioritise customers, invest in technology, empower teams and execute relentlessly to continue our journey. Whilst we must take into account the challenging macroeconomic and geopolitical backdrop we operate against today, it remains a good time to be a fintech business growing new embedded finance micro-economies.”
Verdon continued, “The market is accelerating towards embedded finance. We are seeing a growing demand for embedded finance experiences, particularly amongst younger age groups. 64% of 18-24 year old GB adults would be likely to access financial or banking services from Amazon, for example.”
Meirav Harnoy, Co-Founder and Managing Partner of Moneta VC, said: “It has been a pleasure to see Railsr go from strength-to-strength as a challenger to old finance and a creator of the embedded finance economy. Railsr’s customers, technology and people have impressed me since I led the Series A investment round. I’m excited to see what comes next.”
Railsr has built a portfolio of more than 300 customers disrupting the financial and retail industries. Recent customer wins include HelloCash, Sodexo and Payine.
Mike Galvin, Co-Founder and Chief Commercial Officer of Railsr’s partner, Toqio, said: “Toqio has built a strong collaborative partnership with Railsr delivering financial services to our joint customers at scale and pace. The Railsr partnership has allowed Toqio to deliver cost effective financial services solutions to the market and has been one of the key enablers of our growth. We look forward to our continued collaboration.”
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