Indian digital payments platform Phone Pe has raised $350 million in funding from General Atlantic at a pre-money valuation of $12 billion
The General Atlantic investment marks the first tranche of an up to $1 billion total fundraise that PhonePe has commenced in January 2023.
The fundraise follows PhonePe’s recently announced change of domicile to India and full separation from Flipkart.
PhonePe plans to deploy the new funds to make significant investments in infrastructure, including the development of data centers and help build financial services offerings at scale in the country. The company also plans to invest in new businesses, including insurance, wealth management, and lending.
Founded in December 2015, PhonePe today has over 400 million registered users, representing one in four Indians and covering 99% of pin codes in the country.
“We are an Indian company, built by Indians, and our latest fundraise will help us further accelerate the Government of India’s vision of digital financial inclusion for all,” says Sameer Nigam, founder and CEO at PhonePe. “We look forward to delivering the next phase of our growth by investing in new business verticals like insurance, wealth management and lending, while also facilitating the next wave of growth for UPI payments in India."