Juspay, a Bengaluru-based fintech company, has raised $60 million in its Series D round of funding, led by Kedaara Capital, with support from current investors SoftBank and Accel. The round includes both primary and secondary investments and arrives at a critical time for the firm, after recent disruptions in the payment orchestration industry.
Juspay is going to leverage the new funds to boost its artificial intelligence (AI) functions, with emphasis on solutions meant to enhance workforce productivity and merchant experiences. Juspay has also scaled its operations in Asia-Pacific, Latin America, Europe, the UK, and North America. Sheetal Lalwani, COO and Co-founder, Juspay, said, “As we build our global presence and set the frontiers of AI, we continue to remain focused on creating open-source and interoperable payment systems that welcome the increasing diversity of the payments environment.”
In a strategic move to strengthen its market position, Juspay recently open-sourced its payment orchestration platform, Hyperswitch. This enables merchants to host the solution in-house within their infrastructure, allowing integration with multiple payment providers and establishing their own rules of transactions. The move is in line with Juspay’s vision to create transparency and interoperability in payment systems.
The funding round comes after a torrid time for Juspay as leading aggregators such as PhonePe, Razorpay, Paytm, and Cashfree ended partnerships with the firm. The aggregators had raised fears about Juspay supposedly prioritizing its payment gateway and withholding transaction data. Although Juspay dismissed such claims as “baseless,” the breakup represents increasing competition within India’s payment ecosystem.
Even with these hurdles, Juspay has proven to be financially robust. During FY24, the company reported revenue growth of 49.6% at ₹319.32 crore, up from ₹213.39 crore in FY23. Losses were curtailed by almost 8%, reflecting enhanced operational efficiency.
Founded in 2012 by Sheetal Lalwani and Vimal Kumar, Juspay offers payment orchestration services, checkout experiences, 3DS authentication, tokenisation, unified analytics, and real-time payments infrastructure to enterprise merchants and banks. The firm handles more than 200 million transactions per day at a reliability level of 99.999%, processing an annual total processed volume of over $900 billion.
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While reports from the media indicated that Juspay could become a unicorn through this round of funding—potentially valuing around $1 billion, the company did not state its valuation in the announcement.
Juspay’s Series D round of funding is a crucial milestone in its path to becoming a top fintech player in India while becoming a global growth engine. Its emphasis on AI-based solutions and open-source platforms is a demonstration of its investment in innovation amid rising competition within the payments arena.
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