Thu.Aug 5th , Aug 2021 12:11:17 PM
Abu Dhabi Investment Authority declares minority stake in MobiKwik

Abu Dhabi Investment Authority, the UAE’s autonomous wealth fund, has recently and exclusively announced taking over a minority share in India’s digital payments application- MobiKwik for Rs 150 crore, valuing the company at Rs 5,193 crore.

It has been reported that the company has been under a bad phase ever since the news of massive data theft broke out, following which the Reserve Bank of India ordered a forensic audit on the company. Reports suggest that confidential information of its nearly 10 million customers were allegedly compromised by the hackers.

The digital payments company, since March 2021, has raised over Rs 235 crore, and this new investment would only allow it to attain the valuation of nearly Rs 5,193 crore, as cited by a Registrar of Companies filling by MobiKwik.

As per investment banking records, MobiKwik is currently working on a Rs 1,200 crore share sale, which is projected to hit the markets by this September.

For the record, MobiKwik claims one million transactions everyday across its expansive network, which includes digital wallets and services such as mobile phone top-ups and bill payments. Apparently, there are over three million merchants on its networks, allowing the platform to serve over 107 mission users.

According to PwC report of December 2020, India’s digital payments market is anticipated to reach to Rs 163 lakh crore by the end of FY2021. With WhatsApp winning permission to provide local payments, rivalries among digital payments players like GPay, PhonePe, Paytm, and others has significantly increased.

Apart from Abu Dhabi Investment Authority, MobiKwik is now also backed by investors like ex-Blackstone India Head Mathew Cyriac, ex-Infosys CIO, V G Dheeshjith, and Padma Shree awardee Sat Pal Khattar. Some of the other investors are Bajaj Finance and Sequoia Capital.

Source Credit: https://yourstory.com/2021/06/funding-abu-dhabi-investment-authority-invests-20-million-mobikwik/amp

By Shreya Bhute

With corporate exposure in software and marketing, Shreya was always intrigued by content development. Having pursued her graduation in I.T. engineering, she works as a content writer for people.partilepep.com and jots down news articles across distinct domains including technology, business and healthcare.