MobiKwik is in talks to raise a fresh round of $100 Mn-$150 Mn and this new round will take its valuation to $1 Bn, making it a Unicorn.
This development was revealed by co-founder Upasana Taku to TechCrunch. Its close rival Paytm is already a Unicorn and is currently valued at over $7 Bn.
Taku declined to disclose the details of the investors but said that there was at least one major strategic investor and a number of financial institutions that they were currently in talks with. MobiKwik expects to close the round in the next few months. The company plans at investing about $45 Mn for acquiring and growing customer and merchant base. The funds will also be used towards increasing the number of MobiKwik offices from 6 to 20.
“We couldn’t have imagined where we’d be in terms of numbers. Now, we’re net revenue profitable — when you remove merchant acquisition costs — and are on a path to profitability,” Taku stated. She also mentioned that the platform will introduce a slew of services related to its core verticals such as online lending, insurance, and investing to take that final jump towards profitability.
MobiKwik: The Journey
MobiKwik was started in 2009, by Bipin Preet Singh and Upasana Taku. The mobile wallet enables has partnered with businesses like Café Coffee Day, PVR, Domino’s Pizza, Pizza Hut, TastyKhana, JustEat, eBay, Jabong, Snapdeal, HomeShop18 among others. MobiKwik claims to have over 55 Mn users and 1.5 Mn retailers on its platform.