Vestwell Secures $125 Million in Series D Funding Round
Vestwell, a fintech company based in New York, has secured a substantial $125 million in a Series D funding round, spearheaded by Lightspeed Venture Partners.
This round witnessed the involvement of existing investors Fin Capital, Primary Venture Partners, and FinTech Collective, alongside new investors Blue Owl and HarbourVest. The funding marks a significant milestone for Vestwell, arriving over two years after it raised $70 million in a Series C round, bringing its total capital raised to over $235 million.
Established in 2016, Vestwell provides a cloud-based digital recordkeeping platform designed for workplace savings and investment programs like 401(k) and 403(b) plans. The company claims to serve around 50,000 businesses and over a million savers, managing assets worth approximately $29 billion.
CEO and founder of Vestwell, Aaron Schumm, expressed excitement about the funding, stating, “This is one of the largest Series D SaaS rounds in the US this year, and takes us to a valuation milestone we’re extremely pleased with.”
Although the company hasn’t disclosed the exact valuation, sources reported by Bloomberg suggest that the latest round propels Vestwell’s valuation to around $1 billion. With this fresh injection of funds, the fintech firm intends to expand its teams in sales and engineering by hiring new talent while also unveiling new product offerings.
