Japan’s Softbank – which took a 30% stake in India based e-commerce marketplace Paytm Mall last year – is in for another round of funding along with China-based investment firm Primavera Capital and Singapore state investment arm Temasek Holdings.
Paytm Mall, the e-commerce arm of One97 Communications and also backed by China’s Alibaba, is in the final stages of raising US$600 million, Business Standard has reported.
The e-commerce marketplace is betting big on its e-grocery deals, aiming to boost turnover to more than $3 billion from this segment by the end of this year.
Currently, 25% of gross merchandise value of the online marketplace comes from groceries, but by the end of 2018 it wants to increase that ratio to 40%. The company is getting into “hyperlocal” tie-ups with grocers.
Vijay Shekhar Sharma-led firm One97 Communications, which owns the Paytm brand, had set up Paytm Mall with an initial tranche of funding – $200 million – from Alibaba, Ant Financial and SAIF Partners.
One97 Communications currently has six companies under its umbrella, including Paytm, Paytm Money, Paytm Payments Bank, Paytm Life Insurance Corp Ltd and Paytm General Insurance Corp Ltd.