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SoftBank pumps Rs 9,000 cr in Paytm to help launch payments bank operation

The funding will help Paytm expand fast its soon-to-be launched payments bank operations

Press Trust of India 

The funding will help Paytm expand fast its soon-to-be launched payments bank operations.

Japanese conglomerate has pumped in $1.4 billion (over Rs 9,079 crore) in Indian payments platform, Paytm, marking the largest fund infusion by a single investor in an Indian start-up.

This is Softbank's largest investment in a single company in While both the have declined to comment on the valuation, market watchers say that the deal values at about $8 billion.

The funding will help expand fast its soon-to-be launched payments operations as well as grow its user base and introduce more financial products for consumers.

joins and its payments affiliate Ant Financial as amongst the largest investors in One97 Communications which operates Interestingly, was an early investor in

"In line with the Indian government's vision to promote inclusion, we are committed to transforming the lives of hundreds of millions of Indian consumers and merchants by providing them access to a broad array of financial services, including mobile payments," Group Chairman and CEO, said.

has committed investment of over $10 billion in the Indian market. While it has pumped in close to $2 billion into Indian startups like Snapdeal and Ola in last few years, it has also written off a significant portion of that on account of loss in valuation.

The fund infusion in comes at a time when is working on a sale plan of e-commerce firm Snapdeal. is the largest shareholder in Snapdeal, which is locked in an intense battle with and Flipkart.

Flipkart - which is in talks to buy Snapdeal - had raised a similar amount last month, although from three investors Tencent, eBay and Microsoft. It was dubbed the largest capital raised in the Indian internet sector.

has been one of the prominent beneficiaries of the government's move to scrap high denomination notes. has seen manifold growth in transactions on its platform as well as expansion in number of users.

founder and CEO said: "This investment by and support of the incredible entrepreneur is a great endorsement of our team's execution and vision."

The company plans to invest Rs 10,000 crore over the next three to five years to enable half a billion Indians to join the mainstream economy, the statement said.

offers mobile wallet (over 220 million users) and e-commerce services and will launch its payments operations from May 23. It had raised $60 million from Taiwanese chip maker MediaTek last year.