ReCharge, a provider of e-commerce subscription management software, announced today that it raised $ 227 million in a $ 2.1 billion B series growth round.
Summit Partners, ICONIQ Growth, and Bain Capital Ventures provided capital.
Notably, Santa Monica, California-based ReCharge was restarted for several years before raising $ 50 million in a previously undisclosed A series from Summit Partners in January 2020. It is currently a positive cash flow, according to company executives. With this round, ReCharge raised a total of $ 277 million in financing.
Over the years, the company's SaaS platform has evolved from a subscription billing / payments platform to include a broader set of offerings aimed at helping e-commerce businesses increase revenue and lower operating costs.
Specifically, the cloud-based ReCharge program is designed to give e-commerce merchants a way to offer and manage subscriptions for physical products. It also aims to help these brands, primarily directly to consumer companies, grow by providing them with ways to "easily" add subscription offers to their businesses with the goal of converting one-off buyers "into loyal, repeat customers."
The company has some impressive growth metrics, and it's undoubtedly driven in part by pushing the COVID-19 pandemic into all things digital. ReCharge ARR grew 146% in 2020, while revenue grew over 136% over the same period, according to co-founder and CEO Oisin O’Connor, although he declined to reveal the flat numbers. The startup has 15,000 customers and 20 million subscribers in 180 countries on its platform. Clients include Harry’s, Oatly, Fiji Water, Billie and Native. But even before the pandemic, it had doubled its treatment volume every year over the past five years and processed more than $ 5.3 billion in transactions since it began in 2014.
ReCharge also has 328 employees, up from 140 in January 2020.
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