Bangalore: Gurgaon based online recharge and mobile wallet company, MobiKwik, which holds over 15 million users and 25,000 merchants (retailers), raises $25 million (over Rs.150 crore) in its series B round funding. The round was led by Tree line Asia, Networking giant Cisco investments, American Express and the existing investor-Sequoia Capital were also a part of the round. According to the company, the raised funding will be deployed for investments in technology/data analytics, brand building and growing the network of users and merchants.
Founded in 2009 by Singh and Upasana Taku, MobiKwik is an online prepaid account, where a user can store money to pay data card recharges, DTH, post paid mobile bill payments, gas and land line connections, utility bills and other online shopping bills. Before using MobiKwik for various functions, the wallet should be loaded with money. Moreover, it provides an option to add amount using credit/debit card, Cashpay, netbanking and many others.
The mobile wallet startup is focusing to create a pervasive brick and mortar retail network of over 100,000 merchants across India, which serves both as points for wallet payments acceptance and cash loading into the wallet. In Feb 2015, it also applied for a Payments Bank license.
Recently, MobiKwik tied up with Café Coffee Day for a strong offline push. This merger allows users to pay cash for their coffee and snack across all CCD outlets via MobiKwik wallet.
Networking giant Cisco and Amercican Express has invested in MobiKwik to foster the growth of mobile payments in India and to expand its connectivity in the areas of IoT (Internet of Things). Hong Kong based Tree line founded in 2006 with a subsidiary in Singapore.
Earlier, MobiKwik raised under $5 million in its Series A funding from an un named VC firm. The firm competes with Paytm and Freecharge which recently rose funding from VC funding.