L-R: Postman founders Abhinav Asthana, Ankit Sobti and Abhijit Kane
L-R: Postman founders Abhinav Asthana, Ankit Sobti and Abhijit Kane

Software as a service (SaaS) startup Postman has raised $150 million in its Series C funding round, led by Insight Partners at a valuation of $2 billion, catapulting it into the coveted unicorn club.

ET was the first to report the development on June 5.

Existing investors Nexus Venture Partners and Charles River Ventures, which had last invested $50 million into the company in June 2019 at a valuation of $350 million, also participated in the fundraising.

The San Francisco and Bengaluru-based company has raised $208 million in total across various funding rounds.

Postman is the fourth Indian SaaS company to enter the unicorn club after FreshWorks, Druva and Icertis. Among the four, Postman has been the fastest to get there, taking just six years to be valued at more than $1 billion.

Graphic: Rahul Awasthi
Graphic: Rahul Awasthi

Postman is a collaboration platform for managing, developing and testing application programme interfaces (APIs). APIs are a set of tools for building applications used by software developers.

Modern-day commerce is driven by API-connected, cloud-based software, and Postman is in the absolute vanguard of companies driving faster and more effective development of solutions across a multitude of industries,” said Jeff Horing, co-founder and managing director of Insight Partners.

The company said the latest investment will help accelerate growth and maintain leadership in the API development space.

“Developers all over the world are rapidly transitioning from the code-first mindset to an API-first mindset with Postman being the centre of this revolution,” said Abhinav Asthana, co-founder and CEO of Postman.

According to the company, over 11 million developers have signed up on its platform from across 500,000 organisations.

Industry watchers told ET that Postman’s huge valuation stemmed from the fact that it was the largest player with few competitors in what is a fast-growing space globally.

The company’s latest investment round comes amid a global pandemic, but also at a time when Indian SaaS firms are increasingly seen as value creators. Investors such as Tiger Global, which has backed some of India’s largest unicorns Flipkart and Ola, are also sinking their teeth into the space.

India’s SaaS industry is expected to grow to $10 billion in revenue by 2025 from $1.5 billion in 2019, and will improve its share in the global SaaS market to 8% from 2.6% in that period, according to SaaSBOOMi, a community of SaaS companies in India.

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