DailyPay Closes Transactions Totaling $175 Million; Company’s Valuation Increases by 75%

PR Newswire / January 18, 2024


Leading fintech announces the close of a $75 million equity round and the $100 million expansion of an existing secured credit facility, with the incremental financing provided by Citi

Funds will be used to accelerate growth and expansion into adjacent categories and new markets

 

NEW YORKJan. 18, 2024 /PRNewswire/ — DailyPay, the leading on-demand pay company, today announced it has secured over $175 million to fuel growth. The funding is divided between $100 million of expanded secured credit facility capacity provided by Citi and over $75 million in equity financing, which valued the company at $1.75 billion on a pre-money basis.

The equity financing from both existing and new investors, led by Carrick Capital Partners, will be deployed to further accelerate DailyPay’s continued product innovation and to drive its expansion into adjacent categories and new markets. The additional $100 million expansion of the existing credit facility, provided by Citi, brings DailyPay’s revolving secured debt facility to $660 million, including the existing commitments of $500 million from Barclays and $60 million from TPG Angelo Gordon.

“DailyPay’s employer-integrated on-demand pay platform is putting power back in the hands of the worker by allowing them to track, transfer, spend or save their pay as they earn it,” said Kevin Coop, Chief Executive Officer of DailyPay. “This latest equity capital raise, from both long-time institutional investors and new financial partners, underscores DailyPay’s strength and market-leading position. We are eager to capitalize on this momentum as we continue to revolutionize the future of pay.”

“DailyPay is excited to welcome Citi to our distinguished group of lenders and financial partners,” added Ken Brause, Chief Financial Officer of DailyPay. “The additional $100 million to our credit facility comes as we continue to rapidly add new clients and users to our platform and reflects the size, scale and trajectory of the business.”

FT Partners served as exclusive strategic and financial advisor to DailyPay on the equity financing transaction.

DailyPay partners with leading employers across various industries, including Fortune 500 companies such as Hilton, Target, Kroger and Dollar Tree. Employers who offer DailyPay see positive impacts on hiring and retention. Users are empowered to take control of their earned pay, enabling them to pay bills on time while avoiding unnecessary fees associated with overdraft, high-interest credit products or payday loans.

 

About DailyPay
DailyPay, Inc. is transforming the way people get paid. As the industry’s leading on-demand pay solution, DailyPay uses an award-winning technology platform to help America’s top employers build stronger relationships with their employees. This voluntary employee benefit enables workers everywhere to feel more motivated to work harder and stay longer on the job, while supporting their financial well-being outside of the workplace. DailyPay is headquartered in New York City, with operations in Minneapolis and Belfast. For more information, visit www.dailypay.com/press.

 

Media Contact
Gabriella Lourie
gabriella.lourie@dailypay.com

David Schwarz
david.schwarz@dailypay.com