[the_ad id="83613"]
PolicyBazaar

Exclusive: Tencent invests up to $150 Mn in PolicyBazaar

PolicyBazaar

After months of negotiation and talks, Tencent has finally invested in PolicyBazaar. The Chinese tech behemoth has closed about $130-150 million round in Etechaces Marketing and Consulting, which owns PolicyBazaar, PaisaBazaar, according to two sources familiar with the details of the transaction.

“The deal was completed three-four weeks ago at a valuation of $1.5 billion,” said sources on condition of anonymity. The duo took over three months in finalizing the contours of the deal.

While sources emphasized that Tencent has acquired primary stakes in the Gurugram-based company, Entrackr couldn’t verify independently about the nature of equity (primary or secondary) acquisition by WeChat’s owner. A TOI report in July mentioned that Tencent would acquire secondary shares in Etechaces Marketing and Consulting.

“Tencent has at least invested $130 million in PolicyBazaar. The deal size may have gone up to $150 million as well. Post investment, it will acquire anywhere between 7 to 10% equity in the firm,” revealed sources. All sources, including a company insider, requested anonymity as they aren’t authorized to speak to the media.

This is the third investment for Tencent this year. It’s also backing small business focused bookkeeping app KhataBook. Entrackr had exclusively reported about its investment early this month. So far, Tencent invested in eight firms, including five Unicorns – BYJU’sDream11, Hike, Swiggy, and Ola

It also had put money in Practo, Flipkart (now exited) and OTA – ibibo (now part of MMT) and TIL-hatched music streaming app Gaana. According to media reports, it’s also in talks to invest in ShareChat.

Responding to Entrackr‘s query PolicyBazaar, CEO, Yashish Dahiya denied of any such development taking place. Questions sent to Tencent didn’t elicit any immediate response. We will update the post as and when it responds.

Chinese investors, including Tencent, have been ramping up its stake in fintech space in India. Besides KhataBook and PolicyBazaar, it also invested in $35 million, this year, in Bengaluru-based digital banking company NiYO, which also serves outbound tourists with a foreign exchange service.

Send Suggestions or Tips