[Funding alert] MobiKwik raises Rs 52 Cr from the HT group and Kris Gopalakrishnan’s family office
raised funding of Rs 52 crore led by Hindustan Media Ventures, the investment arm of HT Group, with participation from Infosys Co-founder Kris Gopalakrishnan’s family office Pratithi.
The Gurugram-based fintech startup said that it will use the fresh capital to fuel growth in all key business segments of the firm — digital credit and cards, consumer payments, and payment gateway.
Bipin Preet Singh, Co-founder and CEO at MobiKwik said, “The HT group and Kris coming on board is very exciting for us and is an endorsement in our business model of bringing Digital Credit to 100 Million Indians. We are on the road to IPO and look forward to their guidance on building a long lasting sustainable company and creating impact via Financial Inclusion."
The company has seen significant traction in its digital credit card business and claims that it has pre-approved 15 million users for its credit product, which is availed by users for making payments via the MobiKwik Wallet and the MobiKwik Blue Amex Card.
Infosys Co-founder and former CEO Kris Gopalakrishnan
Kris Gopalakrishnan, Co-founder and former Co-Chairman of Infosys said, “A successful new business is one which creates jobs, is sustainable, and can run for a long time. The MobiKwik team is executing with this vision and I am happy to support and encourage them."
Founded in 2009 by Upasana Taku and Bipin Preet Singh, MobiKwik has three business segments — consumer payment, financial services, and payment gateway.
The fintech company, which has around 120 million users and three million retailers, competes against the likes of, , and Google Pay.
Piyush Gupta, Group CFO and CEO - Strategic Investments of HT Group added that MobiKwik has carved out a unique spot for itself with its Digital Credit Card model within India’s fintech ecosystem. "The company has demonstrated good financial performance by scaling revenue while becoming breakeven profitable. We are excited to partner with the company in its growth journey," he said.
On the back of credit and payments, the firm has doubled its revenue for three successive years and significantly reduced its cash burn to near zero.
MobiKwik posted Rs 379 crore in revenues as of the financial year ending March 2020, a growth of 133 percent year over year.