PhonePe acquires GigIndia to expand its business services

PhonePe says that the acquisition will allow it to tap into GigIndia's network of freelance microentrepreneurs to assist corporations and businesses in gaining more clients and expanding their distribution channels.

PhonePe acquires GigIndia to expand its business services

PhonePe, a digital payments company based in Bengaluru, has acquired GigIndia, a platform for gig workers.
The move is aimed to boost the company's offers to corporate and enterprise partners, consistent with an announcement released on Monday.

According to PhonePe, the acquisition will enable it to use freelancers on GigIndia's platform and provide blue-collar workers for on-the-ground client acquisition, sales, and distribution for corporates and enterprises.

PhonePe made the deal so as to spice up its direct revenue streams by improving its value proposition to enterprise partners.

As a part of the deal, GigIndia will combine with PhonePe, which encompasses a network of 1.5 million entrepreneurs and over 100 businesses as customers. GigIndia's approximately 50-member staff also will be onboarded by PhonePe. Later this year, the corporate plans to rebrand GigIndia.

Individuals aware of PhonePe's internal planning told ET on condition of anonymity that the corporate is looking to form another 2-3 acquisitions this year to expand its banking and tech platform offerings.

"We're thrilled to welcome the GigIndia team to PhonePe and to require advantage of their domain experience to produce value-added services to our enterprise partners, assisting them in scaling, expanding, and growing their operations." "With its pool of high-quality, professional freelancing micro-entrepreneurs, GigIndia has already benefited several enterprises," said Vivek Lohcheb, PhonePe's head of the offline business.

The corporation wouldn't say what quantity the deal was worth.
In 2018, PhonePe purchased Zopper Retail, a point-of-sale company. Last year, it announced ambitions to shop for content discovery platform IndusOS, but the deal has been stalled thanks to legal issues.

"PhonePe may be a market leader in digital payments, and we're excited to be working with them." GigIndia has long been a trusted partner for India's fast-growing businesses, and in PhonePe, we've discovered a like-minded partner that shares our goal," said Sahil Sharma, GigIndia's CEO, during a statement.

PhonePe announced in January that it's 350 million total users, with 150 million of them being monthly active users.

As of December last year, the business claimed to own a 25-million-store offline acceptance network and had handled $651 billion in annualized total payment value (TPV).