Vestwell, a Manhattan, New York-based company providing infrastructure for employers to power workplace savings programs, has raised $125 million in funding.
SaaS Investors
The round was led by Lightspeed Venture Partners. Existing investors Fin Capital, Primary Venture Partners, and FinTech Collective participated, along with new investors Blue Owl and HarbourVest.
Founded in 2000, Lightspeed Venture Partners is a venture capital firm based in Menlo Park, California. The firm has regional offices in Israel, India, China, Southeast Asia, and Europe. Lightspeed invests in seed, early, and growth-stage companies in the enterprise, health, fintech, and consumer sectors.
Vestwell Use of Funds
The company will use the latest funding to expand its state-savings initiatives and enhance existing products, with about half allocated for potential acquisitions.
About Vestwell
Vestwell CEO Aaron Schumm started the company in 2016 and launched the cloud-native platform in 2017. Vestwell offers a cloud-native platform and partners with financial institutions, state governments, and payroll companies to enable retirement, health, education, and other savings programs. As an extension of its partners, Vestwell enables a suite of programs, including retirement, health, and education, such as 401(k), 403(b), IRA, 529 Education, ABLE disability, and Emergency Savings programs.
Funding Details
Company: Vestwell Holdings Inc.
Raised: $125.0M
Round: Series D
Funding Month: December 2023
Lead Investors: Lightspeed Venture Partners
Additional Investors: Fin Capital, Primary Venture Partners, and FinTech Collective
Company Website: https://www.vestwell.com/
Software Category: SaaS Workplace Savings and Investment Management Platform
Source: https://techcrunch.com/2023/12/20/vestwell-raises-125m-in-preempted-round-of-funding-to-help-businesses-power-workplace-savings-programs/