Clockwise from left: Nikhil Sachdev, Managing Partner, Insight Partners, Yang Yang Zhang, CEO & Managing Director, Xendit Philippines and Dick Chiang, Founder & CEO, Dragonpay
Xendit is one of the fastest-growing fintech in Southeast Asia, tripling annualized transactions from 65 million to 200 million and increasing total payment value from $6.5 billion to $15 billion.
Xendit is committing its new Series D funding round to strengthen its presence in the Philippines, pledging to take a more active role in supporting local SMEs and startups, backing women in tech initiatives, building better payment solutions, and streamlining business processes.
Xendit, one of the fastest-growing payments infrastructure platforms in Southeast Asia, made this commitment following the recent completion of a $300 million Series D funding round, bringing its total capital raised to $538 million. Coatue and Insight Partners co-led the round with additional investment from Accel, Tiger Global, Kleiner Perkins, EV Growth, Amasia, Intudo, and Justin Kan’s Goat Capital.
“We are so excited to apply this latest round of funding to further our existing growth initiatives while investing into even more new initiatives to accelerate the Philippine digital economy. Not only will we double down on launching first-to-market payments solutions and building world-class financial infrastructure, but we will also partner deeply with regulators, create new opportunities for Filipina women in tech, and push the frontiers of fintech innovation,” said Yang Yang Zhang, CEO & Managing Director of Xendit Philippines.
Known as the “Stripe of Southeast Asia,” Xendit democratizes payments solutions for customers of all sizes – from individual sellers to MSMEs, growth stage startups, and even large enterprises. Backed by some of the most prominent investors in Silicon Valley, Xendit hopes to serve as a lighthouse to draw more VC attention to the growing Filipino startup scene.
Ms. Zhang continued, “From just a handful of scrappy multi-taskers, our local team has expanded continuously as we serve more and more Filipino businesses of all sizes. We’re so excited to funnel our funding back to the Philippines to pave the way for other Filipino startups, establish partnerships with local communities, and support regulators in their digitization goals.”
Mission beyond payments
This infusion of funding will allow Xendit Philippines to commit more resources to two key initiatives: empowering Women in Tech and subsidizing non-profit organizations that directly assist the local community.
“As a woman who has spent her entire career in male-dominated tech industries, I am deeply invested in lowering the barriers to entry for Filipina women interested in technology. Education has always been the fastest way to level the playing field, and I’m so happy that Xendit will be investing directly into making tech education and career training more accessible for Filipina women everywhere,” said Yang Yang Zhang, CEO & Managing Director of Xendit Philippines. ”
Xendit continues to seek new ways to give back to local communities, both directly and by empowering others who do so. Last year, the company offered discounted rates, shorter settlement time, and priority onboarding to those collecting donations for Typhoon Odette relief. Now, it pledges to continue extending this support for all qualified NGOs and non-profit organization.
Reinvesting in the Philippines
Since its inception in 2016, Xendit has continued its dynamic growth, increasing sales by more than 10% month-over-month globally and 30% month-over-month in the Philippines alone. Over the last year, Xendit tripled annualized transactions from 65 million to 200 million and increased total payment value from $6.5 billion to $15 billion.?
“Payments are a crucial component for online businesses and we believe Xendit is capturing a formative opportunity in Southeast Asia,” said Luca Schmid, General Partner at Coatue. “Xendit’s deep local expertise, modern tech stack and customer-centric approach has created a digital payments platform that is helping transform how Southeast Asian businesses transact. Coatue is delighted to partner with the Xendit team for the next phase of their journey.”
Yet, in modernizing hyperlocalized payments infrastructure for the Philippines, Xendit does not focus solely on its own growth. The company is making strategic investments in startups and SMEs across Southeast Asia, especially in the Philippines.?
To complement its expansion into the Philippines, where it is now one of the largest payments players, Xendit made a strategic investment in leading local payment gateway, Dragonpay, to cement a partnership to overcome challenging and long-standing reliability and infrastructure hurdles.
Based on the success that both Dragonpay and Xendit has seen as a result of this partnership over the last year, Xendit is committed to investing into more local Filipino startups that share its philosophy on community-minded growth and scalable, customer-centric solutions.
Regional expansion
After setting its footprint in the Philippines and Indonesia, Xendit is ready to transform and build the digital payment infrastructure in other parts of the Southeast Asia region.
“The payments infrastructure market opportunity in Southeast Asia is massive, and Xendit is capturing it with its world-class payments technology,” said Nikhil Sachdev, Managing Director at Insight Partners. “The company’s strong leadership team and excellent customer reviews, coupled with its incredible traction across Southeast Asia, have made Xendit the dominant player in the region. Insight is thrilled to partner with the team as they scale their operations.”
With more than 3,000 customers, Xendit’s competitive differentiator is its deep understanding of local customer needs combined with global technology. This allows Xendit to deliver hyper-localized products to help startups scale while also serving some of Southeast Asia’s largest merchants, including GrabPay, Ninja Van, Qoala, Unicef Indonesia, Cashalo and Shopback.
