Flipkart’s digital payments firm PhonePe to raise $700 million from existing investors

NEW DELHI (Reuters) – PhonePe, the digital payments unit of Walmart’s Indian e-commerce arm Flipkart, said on Thursday it would sell a stake to existing investors for $700 million, helping it fuel growth in a crowded market that includes Google and Amazon .

FILE PHOTO: The logo of India’s e-commerce firm Flipkart is seen in this illustration picture taken January 29, 2019. REUTERS/Danish Siddiqui/Illustration

PhonePe’s fundraising, from Flipkart investors led by Walmart, will give it a valuation of $5.5 billion, the company said in a statement.

PhonePe is also using the opportunity to assert its independence from the Flipkart Group which runs a successful e-commerce business in India rivalling Amazon’s local unit.

It will have its own board of directors, which will include founder and CEO Sameer Nigam and former Flipkart boss Binny Bansal, who is no longer at the company he co-founded.

PhonePe will also have employee stock ownership

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Google, Walmart’s PhonePe Hit by India’s Move to Limit Some Digital Payments Players | Technology News

By Sankalp Phartiyal and Nupur Anand

DELHI/MUMBAI (Reuters) – Global tech giant Google on Friday criticised India’s move to cap the share of transactions some companies within the country’s digital payments space can account for, saying it would hinder the nation’s burgeoning digital payments economy.

Google’s criticism came after India’s flagship payments processor the National Payments Corp of India (NPCI) on Thursday said third-party payments apps, from Jan. 1, will not be allowed to process more than 30% of the total volume of transactions on state-backed United Payments Interface (UPI) framework, which facilitates seamless peer-to-peer money transfers.

The move will likely stymie the growth of payments services offered by Facebook, Alphabet’s Google and Walmart, while boosting the likes of Reliance’s Jio Payments Bank and SoftBank-backed Paytm, which are armed with bank permits.

More than 2.07 billion UPI transactions were processed in October, according to NPCI, with Walmart’s PhonePe accounting for

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Google, Walmart’s PhonePe hit by India’s move to limit some digital payments players

DELHI/MUMBAI (Reuters) – Global tech giant Google on Friday criticised India’s move to cap the share of transactions some companies within the country’s digital payments space can account for, saying it would hinder the nation’s burgeoning digital payments economy.

A man stands in front of a screen during a Google event in New Delhi, India September 27, 2016. REUTERS/Adnan Abidi/File Photo

Google’s criticism came after India’s flagship payments processor the National Payments Corp of India (NPCI) on Thursday said third-party payments apps, from Jan. 1, will not be allowed to process more than 30% of the total volume of transactions on state-backed United Payments Interface (UPI) framework, which facilitates seamless peer-to-peer money transfers.

The move will likely stymie the growth of payments services offered by Facebook FB.O, Alphabet’s GOOGL.O Google and Walmart WMT.N, while boosting the likes of Reliance’s RELI.NS Jio Payments Bank

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