Amazon has been a king in the retail sector of India for the past many years and Jeff Bezos is happy about its sales in India which is increasing every year. The retail giant’s financial wing which is known to be called as “Amazon Pay” is likely to get funded with $1.4 Billion to take over the financial e-commerce competitors in the Indian market; some of the big names include Paytm, Google Pay and PhonePay.
Jeff Bezos is not the kind of man you can hold back, he wants everything and this funding is a live example. There is a lot of potential in the Indian market and Amazon wants every part of it and not just in the retail sector.
The source of this $1.4 Billion funding is Amazon’s Singapore-based parent company, according to sources, Paper.vc.
Sources claim that the Singapore-based parent entity of Amazon has increased its authorised share capital from $830 million to $2.2 billion. This indicates that there is huge funding coming to Amazon, a chunk of $1.4 Billion may be processed in one single go without complications. If this infusion goes smooth, this investment could be considered as the largest investment by Amazon in India so far.
Amazon is most likely to use the funds to take over the financials market in India. If the infusion goes smooth, this could be the largest investment in a payments business in the Indian market which is huge as it will beat Paytm’s record of $1 Billion investment back in 2017.
Amazon Pay India has raised $4,355crores since 2016 with the latest funding having come through in January, this year. The January funding was also done by the parent company and Amazon Pay India Pvt. Ltd. had raised an amount of Rs. 1,355crore which was used effectively.
This funding was used by Amazon to strengthen its standing in India as it is continuously falling behind the larger payments businesses in India, especially Paytm and Google Pay.
The retail giant is working effectively to rule the Indian payments market and it has recently partnered with IRCTC- Indian Railway Catering and Tourism Corporation which allows the users to book train tickets directly from Amazon.in.