Payments Startup Melio to Triple Valuation to $4 Billion

Melio Payments is tripling its valuation in a new funding round that will value the financial software company at $4 billion, according to three people with direct knowledge of the deal. Thrive Capital, the New York–based investment firm founded by Josh Kushner, and existing backer General Catalyst are co-leading the financing, one of the people said.

New York–based Melio develops software for small businesses to pay suppliers using bank transfers or credit cards. The round, the size of which could not be learned, comes just eight months after the three-year-old company announced its last funding. The new round has not closed and the valuation could change.

The pace of Melio’s fundraising underscores venture capital firms’ voracious appetite for fintech deals. So far this year, U.S. startups in the sector have raised $29 billion, nearly double last year’s high of $15 billion, according to financial data firm PitchBook.