PayMate to raise $30 Mn from Crimson Ventures

The PayMate board has approved a special resolution to issue 3,822,432 non-cumulative participating compulsorily convertible preference shares at an issue price of ₹684 each to raise ₹216 crore (around $30 million), according to a regulatory filing from the Registrar of Companies. The funds will be used to strengthen PayMate's market presence, capitalize on emerging growth opportunities, and support general corporate purposes. This funding round may be part of a larger initiative, as the company could seek additional capital in this phase.

PayMate operates as a B2B digital payments platform that simplifies transactions using commercial credit cards and bank partnerships. It aids businesses by automating their accounts payable and receivable processes while providing short-term credit to enhance cash flow management. The company generates revenue through transaction fees, subscriptions, and financial services. To date, PayMate has raised over $80 million, with investments from notable firms including Lightbox Ventures, VISA International, Mayfield, and IPO Wealth Holding.

PayMate initially filed for an IPO in May 2022, aiming to raise around ₹1,500 crore. However, it did not move forward with the listing due to regulatory and market challenges. In January 2023, the Securities and Exchange Board of India (SEBI) advised the company to update its documents, and Chairman Ajay Adiseshan indicated that they would proceed with the IPO within six to nine months.

During the fiscal year ending in March 2024, PayMate reported flat revenue of ₹1,342 crore, with a net loss that decreased by 12.5% to ₹49 crore during the same period.e same period.​