Net1 Exits Investment in Mobikwik

Net1’s exit from Mobikwik marks a significant shift in its investment strategy. The South Africa-based company has completely divested its 8% stake in the fintech platform, facilitating this transition through a block deal conducted on Thursday.

Details of the Share Sale

Net1 disposed of its full holding of 62,15,620 shares at a price of Rs 230.16 each, generating an estimated Rs 143 crore, as per data from the National Stock Exchange (NSE). This move concludes a long-term investment relationship with Mobikwik that began in 2016.

Investment Background

Initially, Net1 invested $40 million (roughly Rs 270 crore at the time) in Mobikwik, intending to merge its virtual card and financial inclusion technologies with the Indian fintech platform. However, even with Mobikwik’s public listing, Net1 appears to have seen no returns, facing a loss on this investment instead.

Mobikwik’s Market Performance

Mobikwik made its public market entry in December of last year, debuting at Rs 444, which represented a 59% premium on its issue price. Following this, the fintech platform’s shares reached heights of Rs 698. However, the stock has witnessed considerable fluctuations since its debut and has now stabilised around Rs 261.

Revenue Insights

In its recent financial report, Mobikwik disclosed flat revenue of Rs 268 crore in Q4 FY25, compared to the same period last year. However, for the entire fiscal year, the company’s revenue increased by 33.9%, amounting to Rs 1,192 crore in FY25. Despite this revenue increase, Mobikwik reported a loss of Rs 56 crore in Q4 FY25.