Supply chain payments platform Tradeshift has raised $250m in its Series E funding round, which values the company at $1.1bn.
This round was led by Goldman Sachs and Public-Sector Pension Investment Board (PSP Investments). Other contributions came from HSBC, H14, GP Bullhound, and newly formed VC Gray Swan. This investment brings the company’s total funding efforts to over $400m.
The new backers join existing investors HSBC, American Express Ventures, CreditEase Fintech Investment Fund, Notion Capital, and Santander InnoVentures, among others.
Tradeshift supports supply chain payments and marketplaces by giving buyers and suppliers a means to digitise trade transactions, collaborate and connect through a web app.
The platform supports a supply chain marketplace that lets users request, approve and make purchases via a virtual credit card. Users can create private selections to guide employees to the right products and services with contracted suppliers and incorporated discounts.
Also offered by the company are tools to automate supply chain payments, and e-invoices, as well as access to supply chain credit financing options. The platform also has a virtual credit card to help employees make spot purchases, emergency buys, invoice payments, and other transactions.
Capital from the round will be put towards core strategic initiatives which includes global expansion in Europe and Asia, and growth of transacted volume and value across its platform. Tradeshift will also make strategic investments into emerging technology, such as blockchain and AI, through its Frontiers division, which launched at the start of the year.
HSBC, global head of product and propositions, global trade & receivables finance Vinay Mendonca said, “Modernising trade and supply chain solutions is a strategic priority for HSBC. We are investing heavily to enable simpler, better and faster experiences for clients.
“Our partnership with Tradeshift allows us to provide fully digitised and automated working capital propositions across the entire supply chain ecosystem, supported by the breadth and depth of our global network. We are really excited to offer our clients a full range of integrated propositions across the financing and payments spectrum.”
As part of the transaction Tradeshift GM of China and co-founder Mikkel Hippe Brun will join Tradeshift’s board of directors.
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