The funding valued ReCharge at $2.1 billion.

ReCharge, a provider of subscription management software for e-commerce applications, announced today that it received $277 million in growth capital from Summit Partners, ICONIQ Growth, and Bain Capital Ventures. The company achieved a valuation of $2.1 billion in the first funding since its launch seven years ago. (Recharge)

According to VB, the $277 million growth capital injection happened last year but was announced today.

Bootstrapped growth

ReCharge helps e-commerce brands to grow by allowing them to easily add subscription offerings to their business, thereby converting one-time transactions into repeat customers.

“Our merchants are seeing a huge benefit from the addition of subscription offerings to their businesses,” said Oisin O’Connor, CEO and co-founder in a statement. “Whether you’re a direct-to-consumer or an omnichannel brand, subscription solutions strengthen a brand’s relationship with their customers and make it easy for consumers to make repeat purchases.

Recharge has grown at a very fast clip over the past five years, doubling its processing volume each year. Between 2019 and 2020, it more than doubled its annual recurring revenues. The company claims it is already cash positive.

In aggregate, ReCharge has already processed more than $5.3 billion of transactions, counts over 15,000 merchants as customers, and has 20 million subscribers globally.

“We believe the most successful bootstrapped companies learn to operate with the utmost efficiency and a disciplined focus on growth,” said Andrew Collins, Managing Director at Summit Partners. “The ReCharge team identified a true product-market fit and built a product that customers love – which has fueled strong organic growth as the business has scaled.”

ReCharge operates on a 100% remote-first basis and has over 300 employees based across more than 40 cities and 10 countries.

The company will use the funding for product development and growing its various go-to-market functions.

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Image Source: ReCharge