Seeking to disrupt the traditional accounts payable industry, US-based AvidXchange has raised an additional $128 million in equity capital.
The latest financing effort was oversubscribed with a total of more than $388 million raised and includes AvidXchange’s previously announced closing of $260 million in equity financing earlier this year. Contributing investors include fresh blood from Lone Pine Capital, Schonfeld Strategic Advisors, and Neuberger Berman, alongside existing investors Pivot Investment Partners, Mastercard, and Sixth Street Partners.
Founded in 2000, AvidXchange processes over $140 billion transactions annually and employs 1,500 staff supporting customers across seven office locations.
The company offers a single SaaS based platform that eliminates the paper invoice and cheque and offers multiple e-payment options through the AvidPay Network of more than 600,000 suppliers.
“With only 40 percent of US businesses automating their accounts payable processes, we continue to solve a real problem for companies that still rely on paper invoices and cheques, fundamentally changing the way they pay their bills” says Michael Praeger, AvidXchange co-founder and CEO. “This has become even more evident as we see businesses implementing continuity plans and shifting to work from home models, making automation essential to support mission critical processes and keep operations running.