New Delhi: Netherlands-based fintech major PayU on Monday called off the $4.7 billion acquisition of Indian digital payments provider BillDesk, saying that “certain conditions precedent were not fulfilled” by the deadline.Also Read – PayU India launches multi-functional mobile app for merchants
The $4.7 billion deal between the Indian fintech company BillDesk and Prosus-owned PayU was announced on August 31. Even though the agreement was made, the closing of the transaction was subject to the fulfilment of various conditions precedent, including approval by the Competition Commission of India (CCI). Also Read – UPI-based transactions on PayU up 200% between September, March
“PayU secured CCI approval on 5 September 2022. However, certain conditions precedent were not fulfilled by the 30 September 2022 long stop date, and the agreement has terminated automatically in accordance with its terms and, accordingly, the proposed transaction will not be implemented,” the company said in a statement. Also Read – UPI-based transactions on PayU up 200% between September, March
The global investment giant Prosus has been a long-term investor and operator in India and it has invested close to $6 billion in technology companies in the country since 2005.
Prosus said it “remains committed to the Indian market and growing its existing businesses within the region”.
When the proposed acquisition was announced, it was to see PayU, the payments and fintech business of Prosus that operates in more than 20 high-growth markets, become one of the leading online payment providers globally by total payment volume (TPV).
“We have a long and deep relationship with India, having supported and partnered with some of its most dynamic entrepreneurs and new tech businesses since 2005. We have invested close to $6 billion in Indian tech to date, and this deal will see that increase to more than $10 billion,” Bob van Dijk, Group CEO of Prosus, had said in a statement.
BillDesk, founded in 2000, is an Indian success story and one of the leading payment businesses in the country.