MobikWik, the digital wallet and mobile payments firm, is in talks with investors to raise fresh funds. The company intends to raise enough funds to get a valuation of $1 billion. This will strengthen MobiKwik’s market position and help it to offer new services and forge ties with more banks.
Bipin Preet Singh, the chief executive and founder of the company, said that the company will receive more funds in the next couple of months. MobiKwik has raised around $80 million in funding till date. However, according to Live Mint the e-paper, Bipin did not provide any information about how much equity stake the company will sell to receive fresh funds.
When Bipin was asked about the valuation of MobiKwik he said, “We should be touching a billion (dollars) soon … in the next one or two months.” But he did not specify the parties with which MobiKwik is in talks with to receive more funds. Bipin further said that the company is expected to break even by mid-2018.
Demonetisation came as a boon to MobiKwik as more people started opting for digital payments. The company now has 45 million users and intends to become the default payments partner for more users in the coming months.
Bipin also talked about the future plans of the company and said, “I see a future where within the app you can avail yourself of many different financial services in addition to making payments”. Thus, consumers will be able to access a variety of financial services with the MobiKwik app.
The current investors of MobiKwik include MediaTek (Taiwan), Sequoia Capital, GMO Venture Partners (Japan) and Tree Line Asia (hedge fund). If fresh funding increases MobiKwik’s valuation to $1 billion, it will join the likes of PayTM, Ola, Snapdeal and Flipkart, the Indian start-ups that have already achieved this feat.