PhonePe to raise $1 billion

9 Dec 2022 , 10:55 AM

PhonePe is looking to raise up to $1 billion from General Atlantic and its current investors, who also include Tiger Global Management, the Qatar Investment Authority, and Microsoft Corp.

The all-equity transaction is anticipated to finish within the next two weeks and could raise PhonePe’s valuation to about $13 billion, including the fresh money committed. The price places PhonePe among India’s most valuable brands in a digital payments market that Boston Consulting Group predicts will triple in size to $10 trillion by 2026.

Walmart will continue to be the business’s largest investor, but it is in discussions with SoftBank Group Corp.’s Vision Fund, an investor in PhonePe’s parent company Flipkart. Due to portfolio losses, SoftBank has been forced to take a defensive stance and has drastically reduced its investments this year.