PaaS Startup mx51 Raises $52.5M to Expand Global Footprint

Payments-as-a-service (PaaS) platform mx51 has secured $32.5 million in a Series B funding round, according to a press release on Thursday (July 28). The funding will be used to expand its global footprint as the startup works to help banks, acquirers and merchants stay up to date on payments technology.

The fresh infusion of capital was led by an undisclosed global FinTech investor, with participation backers including Mastercard, Acorn Capital, Commencer Capital, Rampersand and Artesian.

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Headquartered in Sydney and co-founded in 2020 by CEO Victor Zheng, CTO Steven Hadley, and COO Magnus Hsu, mx51 closed a $25 million Series A funding round last year and has doubled its workforce to more than 100 employees. The startup is tracking to increase its revenue by more than twofold this calendar year.

Mx51 offers banks and acquirers a PaaS platform that leverages their existing legacy technology infrastructure. For merchants, mx51 provides a suite of embedded payments solutions for use online and in-store.

“Thanks to our partnerships to date, we estimate we can access a significant share of Australia’s merchant market,” Zheng said. “With this new capital, we’re poised for an aggressive rollout over the next few years, first in Australia and then abroad.”

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The new funding will also be used by mx51 to boost its core products for in-store and online payments and develop offerings to help prevent fraud and provide customer insights powered by data.

Zheng added the company has found success by being laser-focused on streamlining merchants’ payment experiences, freeing banks and acquirers to “innovate around legacy technology” while also staying on top of the latest developments in the payments space.

“This capital raise is also in spite of global macro headwinds. This is because our primary customers, banks and acquirers, are well positioned to deepen collaboration and co-invest with FinTechs to deliver modern payment experiences to their merchants,” Zheng said.