Drip Capital Secures $113 Million Funding to Propel Trade Finance Innovation
Securing New Investments
Drip Capital, a leading digital platform in trade finance, has recently secured an impressive $113 million in new funding. This substantial investment comprises $23 million in equity from prominent Japanese institutional investors, including GMO Payment Gateway and Sumitomo Mitsui Banking Corporation (SMBC). Additionally, Drip Capital has raised $90 million in debt financing, spearheaded by the International Finance Corporation (IFC) and East West Bank.
Rapid Growth and Expansion
Over the past two years, Drip Capital has experienced remarkable growth. The company has quadrupled its revenue and doubled its customer base. The integration of forex and risk analytics solutions into its core trade financing products has driven this expansion, enhancing services for small and medium-sized businesses (SMBs). The new funding will accelerate Drip’s market expansion and support the development of innovative products tailored to evolving customer needs.
Pioneering AI in Trade Finance
Drip Capital has distinguished itself in the fintech sector by leveraging advanced artificial intelligence (AI) technologies. These technologies are pivotal in enabling efficient credit risk assessment, streamlining operations, and enhancing customer experiences. Drip aims to continue its leadership in AI, driving the future of trade finance.
Navigating Market Challenges
Despite global trade challenges in 2022 and 2023, such as rising interest rates and restricted capital for SMBs, Drip Capital has emerged as a leading trade finance platform in the US and India. Consequently, it has successfully navigated these obstacles to strengthen its position in both markets.
Statements from Key Figures
Pushkar Mukewar, Co-founder and CEO of Drip Capital, expressed enthusiasm about the new investment. “We are thrilled to welcome our new investors and, alongside our existing partners, are poised for the next phase of growth,” he said. Mukewar highlighted Drip’s success in maintaining profitability and scaling operations during a challenging period.
Investor Reactions
The new investors have expressed strong support for Drip Capital’s vision and achievements. Ryu Muramatsu, Executive Vice President of GMO Payment Gateway, stated, “We are proud to continue supporting Drip with additional equity investment. Their growth and innovative solutions are transforming trade finance for SMBs.”
Similarly, Keiji Matsunaga, General Manager of the Digital Strategy Department at SMBC, added, “Our collaboration with Drip Capital is set to enhance Japan–India trade activities and, consequently, optimize global trade.” We are excited to combine SMBC’s expertise with Drip’s technology to create new opportunities for SMBs.”
Consequently, Drip Capital’s latest funding round marks a significant milestone in its journey, positioning the company to drive further innovation and expansion in the trade finance sector.