Amazon Pay set to acquire app aggregator Tapzo

Wednesday 29 August 2018 00:22 CET | News

Amazon Pay, Amazon India’s payments arm, is set to acquire the Indian app aggregator Tapzo to ramp up its digital payments business.

The deal is reported to be valued at USD 40 to USD 50 million and it could be a cash cum stock deal.

The two co-founders of Tapzo, Ankur Singla and Vishal Pal Chaudhary may receive some stocks of Amazon in addition to partial settlement in cash. It is also expected that they may stay on with the operations of Amazon Pay even as Tapzo is being integrated into it.

Tapzo, though started initially with the name Akosha is a kind of aggregator with multiple services including hosting links to sites like Amazon, Flipkart, Uber and Ola and a host of other apps via its interface. Besides this, it also facilitates recharges on DTH, data cards, bill payments, booking flight tickets or order a cab etc. The startup then tied up with a couple of platforms like Bank Bazaar and India Lends to offer finance products also on its platform. However, the overall performance in terms of growth in transactions through its site has far from expectations. That might be one major reason for the founders to have opted out and sold to Amazon.

The founders have been changing the business model a few times and in terms of funding, Sequoia Capital, RB Investments of Singapore and RU-Net are the investors in Tapzo. Fund infusions have been carried out internally through these investors.

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Keywords: Amazon Pay, payments , India, Tapzo, acquisition
Countries: World

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