Flipkart on Thursday announced a partial spin off of PhonePe, a digital payment platform app (used by over 250 million registered users). This was done so that PhonePe can make use of the dedicated capital fund for the next 3-4 years. The spin off will help PhonePe maximize its potential and the opportunity to create new Board of Directors more focused on development of the app and to create a tailor made equity incentive program for its employees. Flipkart will remain the majority shareholder in PhonePe.
