Australian fintech leader Tyro Payments has today announced that it has raised $100 million in funding from New York firm Tiger Global Management, Sydney-based TDM Asset Management, and Atlassian co-founder Mike Cannon-Brookes.
Combined with the banking licence Tyro obtained from the Australian Prudential Regulatory Authority in August, the funding will go towards accelerating Tyro’s growth initiatives and new product development to help the company provide new payment and banking solutions to customers.
To do this, Tyro will be tripling its employee headcount to 450 over the next three years, guided by new independent non-executive director Catherine Harris, chair of Harris Farm Markets.
Tyro CEO Jost Stollmann said that the funding, along with Tyro’s cloud-based banking platform, sets the company up well for its next stage of growth.
“Tyro is coming together with Australia’s 2.1 million small and medium sized businesses, software and fintech companies to build a new ecosystem that is disrupting the established banks by offering better products and experiences,” Stollmann said.
“SMEs are essential to productivity growth and job creation in our economy. We want to build a new banking ecosystem that allows SMEs in whatever business, be it retail shops, pharmacies, medical practices, restaurants, pubs or hotels, to compete better.”
Founded in 2003, Tyro is Australia’s fastest growing independent EFTPOS provider. It is now serving more than 14,000 Australian businesses, processing over $8 billion in transactions annually. Its gross revenue increased by 38 percent in the last financial year, reaching $72.4 million.
Hamish Corlett, partner at TDM Asset Management, said, “TDM is delighted to invest in Tyro because of its enormous growth potential, unique product offering, proprietary software capability and innovative culture. We are excited to be backing a management team that is passionate about providing better payment and banking solutions to Australian SMEs.”
Stollmann added that Tyro is now poised for “breakout growth”, driven by both innovation and “commitment to fair and transparent banking.”
“We will transform banking for SMEs and provide them with frictionless solutions tailored to their needs, so that they can concentrate on growing their business. We make no apology for attracting some of Australia’s top software engineers, attracted by our creativity, agility and ability to transform the country’s banking system,” he said.
The funding comes as the latest in a line of big announcements for Tyro this year. As well as the obtaining of the banking licence, which gives Tyro the ability to accept deposits and loan to Australian businesses, the company also opened a fintech startup hub on the third floor of its Sydney headquarters earlier this year.