Phi Commerce Secures Rs 42.74 Crore Through Rights Issue

Phi Commerce, an innovative provider of omnichannel payment solutions, is poised to secure Rs 42.74 crore (around $5 million) via a rights issue targeting its current investors, including BEENEXT and Opus Technologies.

The board of Phi Commerce has approved a special resolution to issue 69,840 Series B compulsory convertible shares, each priced at Rs 6,120, to gather the targeted Rs 42.74 crore or $5 million.

According to regulatory filings, Phi Commerce intends to allocate the newly acquired funds for general corporate activities. The startup Superb has assessed that the company’s valuation has surged over twofold to Rs 1,310 crore or $154 million, up from Rs 592 crore in the earlier Series A1 round.

Phi Commerce delivers a comprehensive digital payment solutions platform, streamlining omnichannel payments for businesses, banks, and networks. Its premier offering, PayPhi, makes intricate digital transactions effortless across various platforms, including online, in-store, on-the-go, and doorstep services.

To date, Phi Commerce has raised a total of $14 million, inclusive of a $10 million Series A1 funding round spearheaded by BEENEXT and Opus Technologies in November 2023. As indicated by the startup data intelligence platform and various sources, prior to this funding round, Opus Technologies held the largest external share with a 25.91% stake, followed closely by BEENEXT, which holds 23.61% of the company’s capital.

While Phi Commerce has not yet submitted its financial reports for FY25, the Pune-based firm recorded a remarkable 2.3X increase in operating revenue, reaching Rs 81.7 crore in FY24, up from Rs 35.7 crore in FY23. During the same timeframe, the BEENEXT-supported company reported a loss of Rs 29 crore.

In the competitive payments sector, Phi Commerce faces formidable rivals such as Razorpay, which recorded revenues of Rs 2,500 crore in FY24, and Pine Labs, which achieved Rs 1,384 crore in that same period, alongside Cashfree and other emerging fintech competitors.