Bengaluru-based fintech, Cashfree, has received $35.3 million (₹260 crore) as part of its Series B raise. The investment was led by growth stage financial services investor, Apis Growth Fund II, with participation from existing investor Y Combinator.

A press statement from the company said the fund’s investment comes as Cashfree’s rapid growth has accelerated with rising e-commerce penetration by increasing adoption of Indian businesses and consumers. The investment will support the company’s growth plans, including launching and further rolling out new products. More recently, Cashfree has introduced solutions such as an instant settlement offering on its payment gateway and a UPI Stack with 15 ready-to-use integrations for all business payment needs, including collections, disbursals, and verifications using UPI infrastructure.

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Cashfree was founded by Akash Sinha and Reeju Datta in 2015 and processes online payments for Indian businesses. The company is a 2017 alumnus of Y Combinator, the start-up incubator based in San Francisco, and has processed over $12 billion annualised payment volumes as of March 2020.

Cashfree has been profitable since its first year of operations and counts more than 50,000 businesses amongst its merchants, including leading internet companies such as Cred, BigBasket, Zomato, HDFC Ergo, Ixigo, Acko, Zoomcar, and Delhivery, among others.