Form3 secures $160m in funding round led by Goldman Sachs

London-based Form3 has raised $160 million in a Series C funding round led by the growth equity business of Goldman Sachs Asset Management (GSAM), as it eyes a move into the US.

The platform payment technology provider which was founded in 2016, said that the round also included participation from existing investors and brings its total fundraising to date to $220 million.

New shareholder Goldman Sachs joins existing investors Lloyds Banking Group, Nationwide Building Society, Barclays, Mastercard, 83North and Draper Esprit.

Form3 confirmed it is in “advanced conversations with a number of banks” in the US, which is one of the new markets it is expected to move into.

Michael Mueller, CEO of Form3, said: “More and more financial institutions (FIs) are placing mission critical processes onto a platform. Cloud-native technology is now proven at an industrial scale and confidence is high and growing.

“This announcement marks the beginning of a global rollout for Form3, and the funding required to tackle the next big challenges in payments; how should payments become smart – uniquely possible with our cloud native technology and an exciting new phase to come.”

James Hayward, managing director in the growth equity business within GSAM said that FIs are increasingly turning to modern, cloud-based technologies in order to handle growing payment volumes efficiently and in real-time.

“We are delighted to be leading this investment round and look forward to working together with Form3 and other shareholders to help realise their ambitious global roadmap and strategic growth plan,” he said.

Form3 handles critical payments architecture for some of the UK and Europe’s biggest Tier1 banks, as well as fintechs, and in 2021 reported that annual recurring revenue grew by 233%.

Draper Esprit partner Vinoth Jayakumar added: “We are excited to double down on our support for the Form3 team and welcome Goldman Sachs and 83North to the journey.”