Indian SaaS Firm Postman worth $5.6 Billion after raising $225 million in Series D

Postman recently amplified to a company that is valued at $5.6 billion from $2 billion only a year ago, having raised $225 million in a new Series D funding round.

Their existing investor Insight Partners, headquartered in New York, led the round that had other existing investors like Nexus Venture Partners and CRV also participating. Some of the new investors who took part included Coatue, Battery Ventures and BOND.

Software startup company Postman provides an application program interface (API) development platform to clients which makes it simpler for them to create, test, share and document APIs. It makes the tedious task of creating and saving both simple and complex HTTP/s requests as well as reading their responses, more efficient and less cumbersome.

Postman has recently raised $150 million in a Series C investment round which was led by US-based venture capital fund Insight Partners, at a valuation of $2 billion.

APIs are considered an important aspect by developers in today’s world. It makes easy the process of sharing and transferring data between two distinct applications. It also enables an application’s user to execute actions even without using the application’s GUI and thus, if seen from a developer’s point of view, this eases the execution and testing of certain functionalities of their app.

How it all started

Postman was founded back in 2014 as one of its founders and the company’s CEO Abhinav Asthana was looking at solving a specific problem with the help of a side project. He built a Chrome extension for himself and his friends that would help connect their applications with other internal and external applications. This was a gap that was not worked upon by many firms until the past decade. 

Although Asthana did not realize it when he built this, it was what firms and developers all over the world needed too. He went on to create a tool that would make the API testing process simpler for developers across the globe.

Abhinav, a former intern at Yahoo, soon took on board two of his former colleagues, Ankit Sobti and Abhijit Kane, to help him create Postman, Inc. as the usage of the tool started picking up unprecedented pace.

All three of them continue to lead the company from the front and the San Francisco based firm is now the world’s leading collaboration platform for API development.

According to Asthana, 98 per cent of the Fortune 500 companies are customers of Postman. In an interview with the media two years ago, he had said, “We are solving a fundamental problem for the technology landscape. Big companies tend to be slower as they have many other things on their plate.”

Since the beginning of last year, Postman has added 300 employees across 13 countries. The total number of employees has been doubled. The company also plans to use the new capital to expand its sales, marketing, product, and engineering teams.