March 27, 2023

Binny Bansal to invest over ₹1,000 crore in PhonePay: Report

Binny Bansal to invest $100-150 million in PhonePe?: India’s ‘FinTech’ segment is one of the few sectors that holds immense potential despite the presence of many big players. Perhaps this is why the big startups operating in this sector, even today, are constantly trying to gain more market share. And for this he is trying to invest heavily.

In this continuation, now veteran digital payments company PhonePe will be seen getting a major investment once again, that too from a private investor!

Yes! According to reports, Flipkart co-founder, Binny Bansal may currently invest $100-150 million (around ₹800 crore to ₹1,000 crore) in PhonePe.

actually Economic Times According to a recent report, digital payments company PhonePe is conducting a new funding round, and this huge investment could be made by Binny Bansal.

The report quoted sources as saying that the amount of capital Binny Bansal will invest in PhonePay’s upcoming investment round is yet to be decided, discussions are currently underway.

However, no official statement has come from both the parties in this regard so far.

Apparently, if this news is true, it will become the largest investment a startup has ever received from a private investor.

Talking about some big personal investments, Sachin Bansal, another co-founder of Flipkart in 2018 Ola 100 million dollars invested

PhonePe has already raised around $450 million (around ₹2,800 crore) in seed capital from General Atlantic, Tiger Global, Rebit Capital etc. at a valuation of around $12 billion. However, Walmart remains the largest investor in PhonePe with around 70% stake.

Image Credit: Twitter (@binnybansal)

Interestingly, in December last year, PhonePe announced its separation from Flipkart to become an independent company. Flipkart acquired PhonePe in 2016 and Binny Bansal is said to have played a key role in the acquisition.

PhonePe was started in 2015 by former Flipkart executives Sameer Nigam, Rahul Chari and Burjin Engineer. According to the company, it currently has a huge user base of over 400 million (400 million) registered users.

It cannot be denied that PhonePe has managed to create a strong presence in the Indian digital payments market. The app leverages Unified Payments Interface (UPI) to directly compete with big players like Google Pay, Paytm, Amazon Pay and WhatsApp Pay.

According to a statement released by PhonePe in December 2022, it claimed to have a major share of 50.2% in India’s UPI payment market.

According to Walmart President and CEO Judith McKenna, the platform is recording nearly four billion transactions per month. Not only that, PhonePe’s total payment volume has crossed $950 billion.

At the same time, PhonePe reported a net loss of ₹ 2,014 crore in FY 2022, up from ₹ 1,729 crore in FY 2021.

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