What is FreeCharge?

Introduction
What is FreeCharge?
  • FreeCharge was founded in the August 2010 by Kunal Shah and Sandeep Tandon.
  • It provides online facility to recharge any prepaid mobile phone, postpaid mobile, DTH & Data Cards in India.
  • It was seed-funded by Tandon Group and Sequoia Capital in 2010 with an undisclosed amount.
  • By 2011, the company was able to secure another ₹200 million from Sequoia Capital as Series A funding.

Snapdeal acquires FreeCharge for $400 million

9 Apr 2015
Snapdeal acquires FreeCharge
  • E-commerce company Snapdeal acquired online recharge platform FreeCharge for $400 million.
  • The deal was reportedly 30% in cash and 70% in stock.
  • Snapdeal CEO Kunal Bahl said that the joint entity would create the country's largest mobile commerce platform with over 40 million customers.
  • With the help of FreeCharge, Snapdeal would be able to cater to a much younger customer base of 18-25.

FreeCharge launches digital wallet

15 Sep 2015
FreeCharge launches digital wallet,FreeCharge digital wallet
  • In partnership with YES Bank, FreeCharge launched its digital wallet.
  • FreeCharge co-founder Kunal Shah said that the digital wallet service would transform the way people make payments.
  • He said that it was a secure, easy to use and feature-rich service.
  • He added that customer needs were evolving and it was the right time to launch a digital wallet service with good features.

What is a digital wallet?

Fact
Personal

A digital wallet refers to an electronic device that allows an individual to make electronic commerce transactions. This can include purchasing items online with a computer or using a smartphone to purchase something at a store.

FreeCharge to invest ₹2000 crore on promotion, cashbacks

17 Nov 2015
FreeCharge to invest on promotion
  • FreeCharge would invest ₹2000 crore on promotions and cashbacks over 18 months to attract more customers.
  • The investment also includes ₹100 crore budget for sponsorship, alliances and promotions during the Indian Premier League (IPL).
  • Company's co-founder Kunal Shah said that their aim was to convert all customer transactions into a rewarding experience.
  • He added that they would introduce LPG cylinder refill payments very soon.

Tie ups with RedBus, WhatsApp, ClearTrip, BookMyShow

More Partnerships
freeCharge Tie ups with RedBus WhatsApp ClearTrip BookMyShow
  • In April, FreeCharge tied up with BookMyShow.com, offering cashbacks and enabling users to vastly speed up their checkout time using the FreeCharge wallet.
  • In May, FreeCharge joined hands with Cleartrip and RedBus, increasing their footprint in the travel sector.
  • FreeCharge also introduced a mechanism for users to send money to their contacts via WhatsApp, a significant improvement on its 'Chat and Pay' feature.

PayPal to acquire a minority stake in FreeCharge

23 Dec 2016
PayPal to acquire a minority stake in FreeCharge
  • PayPal Holdings and FreeCharge are in the final stages of sealing a deal which will give PayPal a minority stake in FreeCharge, the digital recharge platform.
  • This deal could see the selling of a 25% stake for $200 million.
  • According to sources, PayPal initially wanted a 51% stake in FreeCharge but Snapdeal's largest shareholder SoftBank is not keen to divest a majority stake.

FreeCharge may be sold to Paytm, PayU

15 Feb 2017
FreeCharge may be sold to Paytm, PayU
  • Snapdeal's parent company, Jasper Infotech is looking to sell its payments wallet business FreeCharge.
  • It is currently in talks with two wallet firms, Paytm and PayU; the size of the deal stands at an estimated $500 million.
  • Fresh talks started after a deal with PayPal fell through; PayPal wanted to acquire 51% of FreeCharge. The company, however, was looking to divest only 20-25%

FreeCharge CEO Govind Rajan quits

22 Feb 2017
FreeCharge CEO Govind Rajan quits
  • Chief Executive of FreeCharge, Govind Rajan quit the company after 9 months of his appointment.
  • Snapdeal, parent company of FreeCharge, has been struggling to attract investors for the past 6 to 10 months.
  • According to the company, Jason Kothari will be supervising FreeCharge's business operations as he is the chief strategy and investment officer of Snapdeal.