General Atlantic Joins PhonePe's $100M Funding Round for Lending Expansion
PhonePe Raises $100M in Ongoing $1B Fundraise for Lending Expansion
13 April 2023
PhonePe has raised an additional $100 million in funding from General Atlantic and other investors to expand its presence in the lending space.
With a total of $650 million raised across four tranches, PhonePe is now valued at $12 billion and holds the largest market share among applications using the unified payments interface (UPI) digital payments system.
PhonePe's push into the lending space is a strategic move to capture a significant market share in India's rapidly expanding fintech industry and position itself as a one-stop-shop for all financial services needs in India.
On Wednesday, PhonePe announced that it has raised an additional $100 million from General Atlantic and other investors, as part of its ongoing $1 billion funding round to expand its presence in the lucrative lending space. The Indian payments firm, owned by Walmart Inc., has now raised a total of $650 million across four tranches, including funding from Tiger Global.
As India's most valuable payments firm, PhonePe is estimated to be worth $12 billion. In March, it held the largest market share, at over 46%, among applications using the unified payments interface (UPI) digital payments system, according to data from the National Payments Corporation of India.
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With this latest funding, PhonePe is set to make a big push into the lending space, which is expected to be a key growth area in India's rapidly expanding fintech industry. PhonePe's strong position in the digital payments space will help it to capture a significant market share in the lending segment, where it plans to offer personal loans, business loans, and other lending products to its customers.
PhonePe's ongoing funding round is a clear indication of the company's ambition and its long-term vision for the future. By expanding into the lending space, PhonePe is positioning itself as a one-stop-shop for all financial services needs in India. With its large user base, strong brand, and innovative approach, PhonePe is well-positioned to become a major player in India's fintech industry in the coming years.