Procurement fintech Zip raises $190m Series D at $2.2bn valuation
Zip, a US-based fintech specialising in AI-driven procurement orchestration, has raised $190 million in a Series D funding round led by venture capital firm Bond.
Zip raises $190m Series D at $2.2bn valuation
The round received support from existing investors Y Combinator and CRV, and values Zip at $2.2 billion, a 47% increase in the former $1.5 billion valuation recorded during the fintech’s $100 million Series C last year.
New investors DST Global, Adams Street and Alkeon also supported the round, which brought Zip’s total capital raised since its 2020 inception to around $371 million.
A Zip statement confirms the funding will be deployed across three main initiatives: advancing research and development for its existing procure-to-pay (P2P) product line, expanding its footprint in Europe, the Middle East and Africa (EMEA), and establishing a new Zip AI Lab.
This latter initiative, according to the statement, will be used to “develop and deploy” AI solutions that integrate with legacy enterprise systems.
Located in San Francisco, Zip operates a platform that enables businesses to automate various elements of the B2B procurement process, including intake, sourcing, vendor management, purchase orders and payments, while applying AI to analyse different vendors.
Its statement claims clients have saved $4.4 billion in procurement spend through the platform to date, with Zip experiencing a threefold increase in the number of large enterprise clients this year alone.
