E-wallet company Mobikwik is planning to raise around $100 million funding by the end of this year. As covered by Pixr8, it raised Rs 225 crore from Bajaj Finance for 10.83% stake.
“We had said that we plan to raise about $150 million and this investment (from Bajaj Finance) is the first tranche. We are in talks with private equity and venture capitalists to raise over $100 million,” MobiKwik Co-Founder Upasana Taku told PTI.
She also added that she is also looking at raising more funding by during the remaining year.
Founded by Bipin Preet Singh and Upasana Taku in 2009, MobiKwik currently has 55 million users and 1.5 million merchants on its platform, which is likely to increase in the near future.
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In the deal Bajaj Finance valued the company about $300 million. Before Bajaj, Mobikwik had raised $80 million from investors including Sequoia Capital, American Express, Tree Line Asia, Cisco Investment, and Mediatek.
Under the agreement, Bajaj Finance will acquire 10 equity shares and 271,050 compulsory convertible preference shares (CCPS) of MobiKwik. Post conversion of the CCPS, Bajaj Finance would hold about 10.83% of equity in MobiKwik.
“MobiKwik now wants to lend money and provide insurance as well to its millions of users, including merchants, as it seeks to “become a one-stop shop for all financial solutions,” according to cofounder Taku.