The series D round of funding has also seen participation from existing investors Matrix Partners India, Falcon Edge Capital and DSG Consumer Partners.
However, existing investor Axis Bank has decided to exit the venture, selling its 8 per cent stake for Rs 80.94 crore.
"The shares were divested at Rs 4,249 per equity share. About 1,90,500 shares, representing 8 per cent stake, were divested. The transaction is expected to be completed not later than July 2017," Axis Bank said in a BSE filing.
Mswipe has a payment network of 2.46 lakh terminals across more than 550 cities. It enables transactions worth Rs 9,560 crore on an annualised basis.
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About 80 per cent of Mswipe's customer base comprises small and medium businesses, which typically have 1-30 employees and turnover Rs 1-5 lakh a month.
"With merchants of all sizes actively looking to enable digital payment acceptance at their establishments, we expect to grow exponentially going ahead, create card and electronic payment acceptance infrastructure across cities and widen our user base," Mswipe founder and CEO Manish Patel said.
As per Axis Bank's filing, Mswipe has seen a manifold growth in income at Rs 57.4 crore in 2016 compared to Rs 8.6 crore in 2015 and Rs 6.3 crore in 2014.
Mswipe has taken a number of steps including acquiring PayU's offline POS division, partnering with Samsung Pay, Sodexo and launching BharatQR and UPI acceptance, to expand its business.
"In a rapidly changing payment landscape, Mswipe's open technology platform and ability to deliver solutions at the lowest cost sets them apart," Matrix India Managing Director Vikram Vaidyanathan said.
The number of transactions through POS terminals stood at 233.4 million in May 2017, valued at Rs 45,080 crore, according to the Reserve Bank (RBI).