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Startup Rippling raises $500 mln in latest fundraise after SVB collapse

Kitco News

March 17 (Reuters) - Rippling said on Friday it has raised $500 million in a funding round at a valuation of $11.25 billion, averting a setback after the collapse of Silicon Valley Bank left the HR software company's funds stuck at the lender.

The round was led by technology investor Greenoaks Capital, and gave Rippling the same valuation it had clinched after its previous capital raise last year, the company said.

The collapse of Silicon Valley Bank, formerly a unit of SVB Financial (SIVB.O), fanned panic across the startup industry, many of which had banking relationships with the lender.

The U.S. Federal Deposit Insurance Corporation has guaranteed all depositors of the bank access to their money.

San Francisco-based Rippling was founded in 2016, according to its LinkedIn profile, and emerged from "stealth mode" in 2017.

The company offers services to businesses to manage their human resource and information technology operations - such as employees' onboarding and payroll management.

Rippling's latest fundraise comes at relatively favorable terms compared to some other high-profile startups, which have had to raise funds at sharply lower valuations as the pandemic-era exuberance of venture capital investors fades.

Reporting by Niket Nishant in Bengaluru; Editing by Shounak Dasgupta
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