Banking infrastructure startup TransBnk has raised $25 million in Series B funding, led by Bessemer Venture Partners along with Arkam Ventures and Fundamentum Partnership. Existing backers, including 8i Ventures, Accion Venture Labs, and GMO Venture Partners, also joined the round. This comes a year after the company raised $4 million in Series A funding.
Plans for Expansion and Hiring
The fresh capital will help TransBnk expand its presence in the Middle East and East Asia. The company also plans to hire more technology and product management talent to strengthen its platform.
Founded in 2022 by Vaibhav Tambe, Lavin Kotian, Pulak Jain, and Sachin Gupta, TransBnk provides digital banking infrastructure for fintechs and corporates. Its platform connects businesses with banks using application programming interfaces (APIs), which allow different software systems to work together seamlessly.
Filling a Big Gap in Corporate Banking
TransBnk offers a wide range of transaction banking services, including escrow account management, trade finance, remittances, cash management, disbursals, and tax payments. While retail payments in India have seen rapid innovation, corporate banking has struggled with old systems and manual processes. TransBnk says it aims to close this gap by offering faster, cheaper, and more efficient solutions.
Earlier, transaction banking was dominated by a few private banks and IT vendors such as TCS, Infosys, and FIS. But SaaS-based fintechs like TransBnk now provide the same services at one-tenth of the cost, with faster implementation and smoother user experiences.
Growing Network and Future Outlook
So far, TransBnk has integrated with more than 40 banks and serves over 220 clients, who use nearly 1,500 APIs every month. According to CEO Vaibhav Tambe, their technology is already powering large financial institutions and corporates in India. With growing demand, the company is now expanding into international markets while strengthening its base in India.
A push from the Reserve Bank of India’s new rules has also supported this growth. The rule requires banks in a lending consortium to contribute at least 10% of funds to provide transaction banking services. This has encouraged more banks to adopt SaaS-based solutions like TransBnk.
