PayU targets $100 million revenue figure in FY18 from India business

PauU India, the domestic arm of Naspers-owned payment services provider, is targeting $100 million revenue figure from its domestic business becoming the largest market for the payment services firm. The startup is competing with other cash rich players such as PayTM and MobiKwik in the segment. It has ~250,000 merchants transacting on its platform, and recorded $61 million revenues during FY16.

Amrish Rau, CEO PayU India, said that “In India, we are doing about INR6,000 crore of business monthly. Almost 80% of our revenue will come from our core payment business. At $100 million, India becomes the single biggest market for PayU globally. At the time of the acquisition, PayU India and Citrus Pay were doing transactions of about Rs 3,300 crore cumulatively. In the past eight months, we’ve seen growth of 80%”. Although PayU was operating in India for more than half a decade, it was a fringe player till it acquired Citrus Pay in 2016 for $130 million.

Besides its acquisition of Citrus Pay last year, the company has invested ~$250 million over the past five years in the country, and considering increasing that number as it scouts for investment and acquisition opportunities to fuel growth. PayU has also made strategic investments in consumer lending app ZestMoney and alternative lending startup Kreditech.