PhonePe raises $200 mn in additional funding from Walmart

PhonePe, one of India's largest fintech platforms, on Friday, said it has raised an additional $200 million (around ₹1,649 crore) in primary capital from Walmart, at a pre-money valuation of $12 billion.

This new funding comes as a part of PhonePe's ongoing fundraise of up to $1 billion in capital, following its domicile shift to India last year. With this tranche, the company has raised $650 million (around ₹5,360 crore) from several global investors, PhonePe said in a statement.

The $12 billion pre-money valuation makes Walmart-owned PhonePe the most valuable fintech in the country, surpassing payment services provider, Razorpay which was last valued at $7.5 billion.

"The company expects further investments, which will be announced in due course," the statement said. "PhonePe plans to deploy these funds to build and scale new businesses like insurance, wealth management, lending, stockbroking, ONDC-based shopping and account aggregators." The fundraise will also help PhonePe turbo-charge the next wave of growth for UPI payments in India, including UPI lite and Credit on UPI.