Mobikwik, the Gurgaon-based online recharge and digital mobile wallet firm, has raised about $50 million in fresh capital, in a new round led by Japan’s GMO Payment Gateway and Taiwanese fables semiconductor company MediaTek
The Series-C round, which closed last month, also saw participation from the company’s existing investors Sequoia Capital and Asia-focused hedge fund Tree Line Asia.
The company, which has over 30 million users and 75,000 merchants, will use the fresh fund for product innovation, ramping up the team and user growth.
This funding round is an indicator of investors’ surging interest in India’s mobile-only future. As people get to e-commerce to purchase more of their, mobile wallets have become quintessential to that growth.
Last year, Mobikwik had raised $25 Million in its Series B round from Tree Line, with participation of Cisco Investments, American Express and Sequoia Capital. Later, the company also received additional $6.6 Million, in a combination of both – debt financing and private equity from Sequoia Capital and Tree Line Asia.
Earlier, it had raised under $5 million in a Series A round from an unnamed VC firm. This is believed to be Sequoia. The VC firm had also previously backed Zaakpay, another payments venture started by the same co-founders.
Competing against the likes of FreeCharge Wallet, Oxigen Wallet and the current leader — the Alibaba-backed Paytm — MobiKwik recently launched a new feature called Explore Nearby, which enables discovery of neighbourhood stores, restaurants, cafes, etc. that accept wallet payments.
Founded in 2009 by Bipin Preet Singh and Upasana Taku, MobiKwik allows users to load money into a digital wallet using cash, loyalty points, debit card, credit card and Net banking, after which it can be utilized to make purchases online. It enables users to discover retailers (brick-and-mortar stores, e-commerce websites, m-commerce apps, billers etc) and then start paying them.
It is currently powering payments for companies such as Uber, Meru Cabs, Shuttl, Big Bazaar, OYO Rooms, Zomato, Barista, PVR, Archies, WHSmith India, BookMyShow, Grofers, Big Basket, Domino’s, Pizza Hut, eBay, ShopClues, Myntra, Jabong, Pepperfry, Star Sports, GoDaddy, MakeMyTrip, Cleartrip and Yatra.
Last year, it also tied up with state-run Indian Railway Catering and Tourism Corporation (IRCTC) to offer its wallet service as a payment option for customers on IRCTC’s Android mobile app.