International payments startup Adyen is growing fast, doubling the number of payments processed over the last year as well as revenues over that time. Capitalizing on that growth, the company has raised $250 million in a giant Series B round of funding that values the company at $1.5 billion.
The new financing was led by growth equity firm General Atlantic with participation from existing investor Index Ventures, which led the company’s Series A round. Also participating were Silicon Valley’s Felicis Ventures and Asian investment firm Temasek Holdings.
Over the last several years, Adyen has worked to enable payment solutions for companies seeking to offer their goods in an increasingly global marketplace. Rather than relying on a combination of different banks and other payments processors for individual markets, they are turning to Adyen to simplify the process of reaching customers globally.
To enable that, Adyen has created a platform that allows companies to accept payments from basically anywhere. It has partnerships with all the major credit card companies, as well as local payment processors around the world.
Its platform works in nearly 200 countries, allowing partners to get paid in virtually any currency and through a wide variety of payment methods. Finally, through its platform payments can be accepted either online, via mobile devices, or even in-store for businesses that have operations in multiple countries.
Due to the increasingly global nature of business, that’s attracted huge interest from a wide range of companies. Adyen has signed on more than 3,500 different merchants for its platform, including well-known tech companies like Facebook, Airbnb, Spotify, Evernote, and Groupon.
For companies using its payment network, it can simplify the process of accepting payments in multiple territories. At the same time, it can also improve conversion rates in places where it supports local forms of payments, according to co-founder and CEO Pieter van der Does.
That flexibility has even led some clients to sign up to address specific markets where they hoped to grow, before expanding their use of Adyen globally.
In addition to its payment network, Adyen has also been investing in offering a mobile point-of-sales system called Shuttle. It’s doing so not so much to offer an alternative to other options on the market, but to improve its “omni-channel” payments capabilities — they is, supporting online, mobile, and in-person processing.
By growing both the size of its customer base and the number of payments it processes for them, the company has doubled its volume over the past year alone. Adyen will process nearly $30 billion in payments, van der Does told me. That means revenues have also doubled in that time, to $185 million.
Since it previously only raised $16 million, with its last money raised in 2011, the mega-round it’s announcing signals a huge commitment to growth.
The company, which is headquartered in Amsterdam and San Francisco, has 240 employees spread across a number of international offices, including Sao Paolo and Singapore. But Adyen sees an opportunity to expand its business further, particularly in Asia. That’s why it took money from Temasek, according to van der Does.
Given its clients and the size of Adyen’s existing business, it’s not a question of whether it will continue to grow, but just how quickly.