Mumbai: One Mobikwik Systems Pvt. Ltd, an Indian digital payments service provider, is set to raise capital from investors including BlackRock Inc. valuing the firm at about $1 billion, a person with direct knowledge of the matter said.
The firm based near New Delhi is in advanced talks to raise more than $100 million from BlackRock and Indian state-run lenders including Bank of Baroda and Canara Bank, the man said asking not to be identified as the info is not public. The deal is not yet finalized and also the conditions may change, said the man.
If finished the trade would make Mobikwik the second unicornor start up worth more than $1 billionfrom Indias fintech business and reveal a revival of venture capital financing after valuation dove in the last year.
The financial services firm with more than 55 million customers will soon be looking at distributing financial products including mutual funds and insurance products through the platform, the man said.
Spokesmen for Canara Bank, BlackRock, Bank of Baroda and Mobikwik did not instantly respond to emailed queries.
Mobikwik and One97s PayTM component grew fast in 2016 after Prime Minister Narendra Modi unexpectedly removed higher-value bank notes from circulation, eradicating some four fifths of the nations paper money in a so called demonetisation, and requested Indians to use digital payment methods.