Mobile Wallet MobiKwik Raises $50 Million

Mobile wallet company One MobiKwik Systems Pvt. Ltd. announced that it has raised around $50 million in its Series C round of funding which was led by Japan’s payment gateway GMO and Taiwan’s semiconductor company MediaTek. The funding round also saw participation from existing investors Sequoia Capital and Asia-focused hedge fund Tree Line Asia.

MobiKwik, which claims to have over 30 million users and 75,000 merchants, will utilize the capital to speed up product innovation, grow its team and user base as it looks to take on competitors Paytm, Oxigen Wallet and the Snapdeal-owned FreeCharge.

"MobiKwik is excited to have raised an undisclosed amount in the Series-C round of funding led by GMO and MediaTek. GMO is Japan's leading payment gateway and MediaTek is the world's leading semiconductor company," a company spokesperson said with no comment on the specifics of the deal. The post-money valuation of the company is also under wraps. In March, MobiKwik's CEO Bipin Preet Singh had said that the company was looking to raise an amount between ranging from $40 to 50 million.

"MobiKwik is a dominating player in the Indian mobile payments space and continues its consistent growth trajectory while staying true to its DNA of rapid product innovation and capital efficiency. Our valuation too has significantly increased," Bipin Preet Singh added.

According to earlier media reports, MobiKwik is targeting profitability by mid-2015. Perhaps this year or the next, we should see them entering into adjacent spaces such as lending, etc.

Last year, MobiKwik raised $31.6 million in two tranches as part of its Series B investment led by Sequoia Capital and Treeline, with participation from American Express and Cisco Investments. In March 2016, the firm launched a new feature called Explore Nearby to help users discover neighborhood stores, restaurants and cafes where MobiKwik payments were accepted.

About MobiKwik:

MobiKwik is India's largest independent mobile payments network which connects 30 million users with 50,000 retailers. It enables users to discover retailers (brick-and-mortar stores, e-com websites, m-com apps, billers, telcos) and then start paying them with 1-tap.

With MobiKwik, users load money into the wallet once using cash, loyalty points, debit card, credit card, and net banking to make secure 1-tap payments for online or offline purchases. Most MobiKwik use their wallet balance across diverse use cases such as recharge, bills, food, grocery, travel & cabs, shopping, entertainment, etc. Users also transfer money to wallets and bank accounts of friends and family using MobiKwik. MobiKwik’s wallet services are also available on Android, Windows, and iOS apart from its website

MobiKwik powers payments for IRCTC, 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, GoDaddy, MakeMyTrip, Cleartrip, and Yatra.