Oct 15 : Financial technology startup Ramp said on Thursday it had raised $1.85 billion in a primary financing round led by Dragoneer Investment Group, valuing the company at $60 billion, as the company expands its artificial intelligence offerings.
The funding underscores growing investor interest in financial automation, as corporate software companies add artificial intelligence to expense management, procurement and treasury functions once dominated by legacy enterprise players.
Ramp's valuation marks a rise from $44 billion in June, when it raised $750 million in a funding round.
The New York-based company, which provides corporate cards and expense management software, said it generates more than $2 billion in annualized revenue and has positive cash flow.
Founded in 2019, Ramp serves more than 85,000 companies, which collectively account for more than $275 billion in annualized purchase volume, up 175 per cent from a year earlier.
The company is also expanding into artificial intelligence tools, including software to monitor AI spending and optimize the cost of running AI models.
The latest round was co-led by Thrive Capital, Founders Fund, Sands Capital and Avenir Growth. Other investors included Fidelity Management & Research Company, T. Rowe Price, GIC and Coatue, the company said.
Ramp said it has raised approximately $5 billion in total equity financing, including the latest round.