The cost management startup lamp has almost doubled its valuation to $13 billion after a $150 million secondary stock sales, the company announced Monday morning.
New and existing supporters, including VC Stripe, GIC, Avenir Growth, Thrive Capital, Khosla Ventures, General Catalyst, Lux Capital, 137 Ventures and Definition Capital, purchased a second from employees and early investors.
This is a major conflict in the ratings of Fintech Startup Ramp. It was valued at $7.65 billion last April, when it raised $150 million in a Series D expansion co-led by the Khosla Ventures and Founders Fund. That pay raise has secured $1.2 billion in equity funding and $700 million in committed debt funding since its inception in 2019.
At the time, RAMP co-founder and CEO told TechCrunch that Ramp had counted over 25,000 companies in a variety of industries, including customers of humanity, Arm, Robinhood, ServiceTitan, Sonos and Wiz.
Today, Griman said that Lamp has grown to over 30,000 customers, and the enterprise business has more than doubled last year. He also noted that the startups are seeing payment volumes that have increased from $10 billion in January 2023 to $55 billion in overall card transactions and bill payments. In the blog post, Grimant called Poshmark, Anduril, Notion and Cursor as the companies that use lamps.
Lamp also burned an average of less than $2 million a month in 2024, said Grimann cited “the benefits of AI” in its own business.
“AI is fundamentally changing the way businesses run and ensuring that our customers are at the forefront of this transformation,” he said.
For many years, RAMP has created its own name in the corporate card and expense management field. It branched out to Travel, Bill Pay, and in January Lamp released a new financial product that invaded the territory of digital banks.
For now, private companies are keeping their mothers at current income figures. In March 2023, Glyman told TechCrunch that Ramp had a quadruple in revenue in 2022, led by Bill Pay's fastest-growing segment, but still had no profits.
The company said it exceeded $100 million in annual revenues before its third birthday in March 2022, and its annual revenues exceeded $300 million in summer 2023. Brex reportedly expects its annual net revenue to reach $500 million in 2025, according to people familiar with the business of the company that the information cited.
The company mainly makes money from exchange fees charged for each swipe with the lamp card, as well as transaction fees for bill payments. It also acquires SAAS revenue from customers who upgrade to its positive offering through foreign exchange from international financial movements. Affiliate fees are booked when a flight or hotel is booked through travel products, etc.
With the addition of financial products, Lamp earns spreads from bank partners on total balances across all funds held in the customer's business account.
The startup had surpassed the 1,000 employee mark by the end of 2024, Griman said — up from 730 at a salary increase last April.
Griman in January said the lamp is paying attention to IPOs in the long term.
The lamp works in crowded spaces, including Brex, Navan, Mercury and more.
According to Bloomberg.Want, it is reportedly raising new funds in a round led by Sequoia with a valuation of over $3 billion. Email me at maryann@techcrunch.com or send me a signal message at 408.204.3036. You can also send notes to the entire TechCrunch crew at Tips@techcrunch.com. For more secure communication, click here to contact us with inquiries that include Securodrop (instructions here) and a link to an encrypted messaging app.