By Josh Beckerman

Divvy, which combines expense management software with corporate credit cards, has reached a $1.6 billion valuation with a $165 million funding round.

The Series D investment includes new investors Hanaco, PayPal Ventures, Whale Rock and Schonfeld, and participation from existing backers NEA, Insight Venture Partners, Acrew and Pelion.

In February, the Utah-based company launched Divvy Capital. On Tuesday, the company noted its appeal to "Main Street businesses that are navigating the challenges and opportunities brought on by the COVID-19 pandemic," and said monthly sign-ups increased 500% since March.

Write to Josh Beckerman at josh.beckerman@wsj.com

(END) Dow Jones Newswires

01-05-21 1454ET