MobiKwik to raise Rs 223 Cr via equity, debt and warrants

MobiKwik is rising around Rs 223 crore from unknown investors through a Cayman Island-based L.P. named MK SPV IX in equity cum debt deal. MobiKwik has issued 1,17,585 compulsorily convertible debentures (CCDs) priced at Rs 9,440 each to MK SPV IX L.P to raise Rs 111 crore according to regulatory filings.

The company has also entered into a securities subscription agreement with the same investor to issue 1 Share warrant (Series F tranche I warrant) for an aggregate amount of Rs 75 crore ($10 million).

Separately, MK SPV IX L.P also picked up 39,185 Series F compulsorily convertible preference shares (CCPS) along with 10 equity shares at a price of Rs 9,440 per share to raise an additional Rs 37 crore.

Prior to a fresh infusion of funds, MobiKwik had raised Rs 24 crore in December 2018 led by Sequoia and Rs 8.74 crore from New Delhi Television (NDTV) and Trifecta Capital. In 2017, it had secured Rs 225 crore from Bajaj Finserv (NBFC). Following allotment, promoters stake in the company will be diluted to 33.45% while foreign entities will control 58.68% of the shareholding.

Of late, MobiKwik has been powering utility bills and recharges payment verticals for Flipkart. Entrackr had exclusively reported the development in February this year. Last year, it also applied for a corporate agency (composite) license with the Insurance Regulatory Development Authority (IRDA).