Online remittance provider Remitly has closed a $12.5 million Series B funding round as it makes plans to move into new markets.
DFJ led the round with participation from DN Capital and existing investors QED Investors and Trilogy Equity Partners. Remitly has now raised $22.5 million in total.
Remitly will use the new capital to expand its team, scale marketing efforts, and broaden its international money transfer service to include new countries. The company currently allows customers to make instant direct deposits within its network of banks in the US, India and the Philippines.
In 2014, the Remitly customer base grew 400 per cent year-over-year and customers are now sending more than $100 million a year with the company. Remitly charges 2 per cent on average, the company says.
“While living in Africa, I saw firsthand the many barriers people faced when sending money to friends, family and businesses,” said Remitly CEO Matt Oppenheimer. “It was incredibly difficult, expensive and the process was arduous and slow. We started Remitly because we knew we could change that.”
“Remittance is a $125 billion opportunity in the U.S. and $500 billion globally,” he added. “We have earned the trust of tens of thousands of people by transferring their hard-earned wages back to the people they care most about. And we’re just getting started.”
DFJ partner William Bryant will join Remitly’s board of directors.
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