One of Nepal’s biggest business groups, Khetan Group, is planning to buy a 20% share in FonePay, a leading digital payment company. The investment will be around NPR 1.4 billion.
This move marks Khetan Group’s entry into the fintech and digital payment industry. The group is led by businessman Rajendra Kumar Khetan, who became “cash-rich” after selling shares in Gorkha Brewery and Carlsberg India.
Waiting for NRB approval
The deal between Khetan Group and FonePay is almost complete. FonePay’s total value is set at NPR 7 billion. But before the deal is final, it needs approval from Nepal Rastra Bank (NRB). The bank is reviewing the documents and will check if the Khetan Group meets all the rules through a ‘fit and proper test’.
Khetan Group enters IT sector for the first time
Khetan Group has already invested in many fields like cement, steel, insurance, banking, telecom, energy, real estate, and food and drink products. This will be the group’s first investment in the technology sector, showing its interest in Nepal’s fast-growing digital economy.
FonePay’s value and agreement details
FonePay is part of the F1Soft Group and has a current capital of NPR 510 million. F1Soft did a proper check of FonePay’s worth before offering shares to Khetan Group. Both parties have signed a basic agreement, which also allows up to 5% price negotiation.
Investment through Global Equity Fund
The investment will be made through Global Equity Fund, managed by Manish Thapa. He said they will use two funds—Nepal Infrastructure Investment Fund and Nepal Impact Growth Equity Fund-1—to invest in FonePay.
“This investment will help Nepal’s digital payment system grow faster,” Thapa shared on LinkedIn.
About FonePay
FonePay got its payment license from Nepal Rastra Bank in 2076 and has a paid-up capital of NPR 510 million. Its profit grew from NPR 1.96 million to NPR 18.76 million in two years, paying a 10.53% dividend.
Digital payments rose fast, with interbank transactions reaching NPR 2,834 billion and QR payments NPR 766 billion in FY 2081/82.
Since Falgun 2081, Indian tourists can pay via FonePay’s UPI. It also partners with LankaPay (Sri Lanka) and GLN International (South Korea), supporting 18 wallets from 13 countries.
FonePay connects with many banks and was honored as Nepal’s top tax-paying tech company.
