A company representative confirmed the situation after allegations arose that financial giant PhonePe is going to relocate its headquarters from Singapore to India.
“We are in the process of relocating our registered business from Singapore to India,” a spokesperson for the company told Inc42.
The financial business declined to comment on the headquarters’ location in India or the cause of the relocation, though. According to earlier reports, the payment Startup owned by Flipkart intends to float on Indian stock exchanges when the time is appropriate.
“We will list here while relocating our holding company to India. It has already received approval from our board. It’s only a matter of time now, said Sameer Nigam, CEO of PhonePe, in a previous interview with Money Control.
The parent company of the fintech Startup, PhonePe Private Limited, was established in December 2012 and registered at a Mumbai address, according to Zauba Corp. Nigam’s LinkedIn profile indicates that he is based in Bengaluru. PhonePe has locations in Mysuru, Bengaluru, Hyderabad, and New Delhi.
The news comes after speculations that the Parliament’s Monsoon Session will probably talk about the monopoly that PhonePe and Google Pay have over the UPI payments business.
According to reports, there are worries about the corporations’ enormous market dominance because both of them are situated outside of India. While Google Pay’s parent firm Alphabet Inc. is headquartered in the US, PhonePe is now headquartered in Singapore.
In June of this year, PhonePe completed transactions of 5.01 billion rupees while UPI totalled 586 billion rupees in transactions. Google Pay came in second, handling transactions totalling INR 3.55 lakh crore.
In 2020, PhonePe was separated from Flipkart. The firm is still a wholly-owned subsidiary of Flipkart Internet, the Singapore-based division of the global e-commerce powerhouse.
Despite having majority ownership in PhonePe and being owned by Walmart, the dominant online retailer Flipkart is not likely to relocate its headquarters from Singapore.
Recently, PhonePe received close to $297 million from its parent company in Singapore. Phone Private Limited passed two resolutions authorizing the distribution of 2.5 million equity shares to PhonePe Private Limited Singapore to raise INR 2,275 crore.
With 385 million+ registered users and 30 million+ merchant locations in India, PhonePe makes this claim. Among its rivals are Paytm and Google Pay. It still controls around half of the nation’s UPI payments business.
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