TransferWise on Wednesday announced it had raised $26 million from Scottish asset manager Baillie Gifford.
The online international money transfer service has been rumoured to be raising money for months, with Sky News reporting London-headquartered TransferWise was in talks with Baillie Gifford back in February.
However, the final round is much smaller than previously rumoured. Sky pegged the round at $70 million in its February and sources also suggested to BI that the round was set to be around that level.
TechCrunch reports that the latest funding round values TransferWise at $1.1 billion, marginally more than the $1 billion valuation it is said to have achieved in its $56 million funding round last January.
Peter Singlehurst from Baillie Gifford says in an emailed statement: “We’re delighted to have invested in TransferWise. Its success to date shows how badly served consumers have been in the past and the real need for what TransferWise offers. The company’s plans for the future are very exciting and the founders have built up an awesome team to deliver them.”
Taavet Hinrikus, CEO and cofounder of TransferWise, says in an emailed statement: “After just five years, we’ve seen how much TransferWise can help people who need to move money internationally. People are now moving £500 million every month on TransferWise, that means they’re saving themselves over £22 million.
“We want to bring TransferWise to everyone in the world who needs it. It’s great to have Baillie Gifford on board to help us grow even faster.”