Fintech provider Plaid has secured $425 million in Series D funding led by Altimeter Capital. The deal comes less than three months after the company ended a planned takeover by Visa due to an antitrust lawsuit from the Department of Justice.
- Most merger targets try to avoid antitrust challenges, but Plaid benefited from the collapsed deal. The new financing values Plaid at $13.4 billion, according to a PitchBook estimate—more than 2.5 times the $5.3 billion Visa agreed to pay for the company in January 2020.
- Investor appetite for fintech companies has surged amid the pandemic as demand for digital financial tools has increased. Plaid's customer base reportedly grew by 60% last year.
- The round brings the company's total financing to more than $730 million. New investors Silver Lake and Ribbit Capital took part, alongside existing backers like NEA, Andreessen Horowitz, Index Ventures, Spark Capital, Kleiner Perkins and Thrive Capital.