Media reports doing rounds is hinting that Nasper-backed fintech firm PayU has initited talks to acquire domestic payment gateway major BillDesk, and the deal size could be in the range of $3-4 billion. The reports seem to stem from industry sources.
“BillDesk has been open to being acquired for some time now, but in the past the valuations that the company was seeking proved to be a hurdle,” said a source according to a report filed in Business Standard today. “Three years ago too, PayU had approached BillDesk for an acquisition, but things didn’t go ahead due to high valuations. BillDesk had asked for $2-billion value then,” said the source.
“If the deal happens, it will be a shot in the arm for PayU, which will be able to capture the entire end-to-end payments ecosystem,” said a partner at a venture capital fund with investments in several fintech start-ups.
Messages sent to PayU did not elicit any response, while BillDesk could not be reached, the report stated.
Media reports have said Paytm, which will soon come up with its initial public offering (IPO), is also evaluating BillDesk.
Fintech giant PayU, which is backed by one of the world’s top technology investors Naspers, is one of the multiple suitors in talks to acquire top domestic payment gateway firm BillDesk in a mega transaction, which if sealed, would be the biggest in the Indian internet space since the disruptive $16 billion buyout of Flipkart by Walmart