PhonePe by ET

PhonePe Set to Acquire Tech Companies WealthDesk and OpenQ For $70 million
WealthDesk will continue to remain an open platform for all players, and founder Ujjwal Jain will continue leading the company

PhonePe, on May the 18th, came out to announce that the company is set to add two more companies to their family. The two companies are WealthDesk and OpenQ. Although, neither party has revealed the specifics of the deal, it has been estimated to be worth around $ 70 million USD according to sources close to PhonePe.

PhonePe, founded 7 years ago back in 2015, in Bangalore is a financial tech company that handles digital payments in the country. It is a platform that facilitates the UPI mode of payments that has become so popular all across the country.

WealthDesk is a digital platform which enables its customers to invest in shares and exchange traded fund portfolios which are known as WealthBaskets by the company. These Wealthbaskets are curated by the top and distinguished SEBI experts and registered professionals to give you the portfolio that matches your style. The company was founded 6 years ago back in 2016, in Mumbai. With this new deal, the company will be entering the PhonePe family, but will still be functioning independently as their own company.

wealthdesk by ET

OpenQ on the other hand offers SEBI approved services. They offer portfolios best suited to your budget and investment style and even have other financial tools like optimizers and portfolio scanners and checkers.  This Business 2 consumer company was founded 4 years ago back in 2018 and its head office is situated in Mumbai. The spokespeople of PhonePe said that, once the start-up is added to their family, it will be playing a paramount role in initiating and expanding the community of finance and wealth.

Neither company has joined the PhonePe family yet, although all parties have put pen to paper and have struck the deal. It is currently waiting for the necessary approvals to be passed.

Over the past few years, PhonePe has grown consistently and has added to their user base every year. They introduced their UPI services in 2016, and it has been the best decision they have ever made as they were able to ride the wave of people adopting UPI transactions instead of the traditional cash options or the relatively newer cheques and debit and credit card payments. They were able to stay on top of other fintech companies starting offer UPI services with their early entrance into the field. However, the CEO of the company sees PhonePe as more than just for UPI and more of a finance company that offers a whole host of services.