PhonePe Secures Additional $200 Million Funding from Walmart to Fuel Expansion Plans
Written by Sanjay Kumar
PhonePe, one of India’s largest fintech platforms, on Friday (March 17) said it has raised an additional $200 million (around INR 1,649 crore) in primary capital from Walmart, at a pre-money valuation of $12 billion. Although Walmart is the largest shareholder of the company, PhonePe did not disclose its exact shareholding. In January, PhonePe had announced its plan to raise $1 billion in tranches.
| PhonePe (Software company) | Walmart (Retailer corporation) |
| Founders: Sameer Nigam, Burzin Engineer, Rahul Chari | Founders: Sam Walton, Bud Walton
|
| Subsidiaries: WEALTH TECHNOLOGY & SERVICES PVT. LTD, MORE | Subsidiaries: Sam’s Club, Walmart Canada, Flipkart, MORE
|
| Parent organization: Flipkart | Owner: Walton family |
| Revenue: 690 crores INR (US$86 million, 2020–2021) | Revenue: 61,130 crores USD (2023) |
| Founded: 2015 | Founded: 2 July 1962, Rogers, Arkansas, United States |
| CEO: Sameer Nigam (Dec 2015) | Chairperson: Gregory B. Penner |
While Walmart’s shareholding was not disclosed, the company said it expected to announce further funding in due course. Since January, PhonePe has raised $350 million from General Atlantic and $100 million from Ribbit Capital, Tiger Global Management, and TVS Capital.
Judith McKenna, president and CEO of Walmart International, expressed confidence in PhonePe’s future and its ability to expand its offerings and provide access to financial services for Indians at scale. McKenna also noted that India is one of the fastest-growing economies globally, making it a critical market for Walmart.
With the additional funding, PhonePe plans to build and scale new businesses such as insurance, wealth management, lending, stockbroking, ONDC-based shopping, and account aggregators. The company is one of India’s largest fintech platforms, competing with Paytm and Google Pay.
PhonePe’s CEO and founder, Sameer Nigam, expressed excitement about the next phase of the company’s growth and its commitment to enabling financial inclusion across India. Founded in 2015 by ex-Flipkart executives Sameer Nigam, Rahul Chari, and Burzin Engineer, PhonePe was acquired by Flipkart in 2016, which was then bought by Walmart in 2018.
In January 2023, the fintech company domiciled in India from Singapore, requiring its investors to pay Rs 8,000 crore. Nigam stated that returning to India was the right choice, given the country’s focus and the company’s roots.
| PHONEPE Funding – PHONEPE Investors | |||
| DATE | INVESTORS | AMOUNT | ROUND |
| Dec 2020 | Walmart | $700m
Valuation: $5.5b |
Late VC |
| Aug 2021 | Tiger Global Management
Tencent |
$66.5m
Valuation: $5.5b |
Late VC |
| Nov 2022 | N/A | $90.8m
Valuation: $5.5b |
Late VC |
| Dec 2022 | Flipkart | N/A | Corporate spinout |
| Jan 2023 | General Atlantic | $350m
Valuation: $12.0b |
Growth Equity VC |
| Feb 2023 | Tiger Global Management
Ribbit Capital TVS Capital Funds |
$100m
Valuation: $12.0b |
Growth Equity VC |
| Total Funding | $1.6b | ||
Must Read:-
- Top 10 shoe brands in India for men & women 2023
- Top 10 Adorable Gifts for Your Special One
- Top 10 Countries with Maximum Indian Population as Citizens
- Top 10 Small Business Statistics You Need to Know For 2023
- Top 10 highest paid CEO in the World
- Top 10 richest person of India
- Top 10 Highest Paid CEOs of India
- Top 10 Most Selling Bikes and Scooters of 2022 in India
- The Success Story of Jeff Bezos
- Success Story Of Elon Musk
- Top 10 Business Magazine In India
- Top 10 Business Newspaper In India
- Top 10 Tourist Places in India, places to visit after lockdown
