E-commerce giant Flipkart is planning to invest Rs 518 crore in its digital payments arm PhonePe. The investment is a part of Flipkart’s $500 million commitment made in 2017 pertaining to PhonePe.
Reportedly, the brand’s payments wing has been allocated 24.5 lakh equity shares in response to the investment.Prior to this in October 2016, PhonePe was allocated with Rs 83.68 crore via allocation of 41.84 lakh shares at a premium of Rs 190 per share.
Flipkart bought PhonePe in April 2006 from FX Mart Private Ltd, It competes with brands like Amazon Pay, Paytm, Google Tez and Mobikwik.
Earlier this year, PhonePe joined hands with mobile wallet brand FreeCharge to permit the latter’s customers transactions paid through PhonePe’s partner merchants.
Meanwhile, PhonePe recently argued Paytm’s claims pertaining to leading digital wallet as“unidimensional and misleading”. PhonePe clarified that data quoted by Paytm’s ATV and Average Transactions per Customer (ATPC) wasn’t available.