Axis Bank is reportedly planning to buy FreeCharge from Snapdeal for around Rs 400 crore in the next few days. Snapdeal acquired FreeCharge in April 2015 for $400 million, when FreeCharge was largely a recharge platform. Snapdeal pumped in over Rs 500 crore to build the product into a strong payments technology platform.
By buying Freecharge, the bank will get a popular digital payments brand as well as access to high-quality technology that traditional companies typically struggle to build compared with internet start-ups.
Axis Bank is the third largest private sector bank in India. The bank offers the entire spectrum of services to customer segments covering Large and Mid-Corporates, SME, Agriculture and Retail Businesses.