Indian Fintech Niyogin Acquires Controlling Stake in iServeU for $eight Million to Supply Vast Vary of Digital Monetary Companies

Fintech agency Niyogin, which is listed on the BSE (beforehand referred to as Bombay Inventory Alternate and situated at Datal Road, Mumbai), has acquired a majority 51% stake in iServeU for INR 592 million (appr. $eight million) in a money and inventory deal.

Niyogin goals to develop a complete all-digital platform for India’s financially underserved residents. The corporate has been targeted on scaling its operations and continues to supply numerous wealth, credit score, and software-as-a-service (SaaS) merchandise so as assist small companies with their digital transformation methods.

iServeU focuses on enabling higher monetary inclusion. The corporate goals to help small village retailers with offering providers to native communities by a digital platform.

iServeU claims that it’s presently dealing with about $500 million in transactions yearly. The corporate’s administration famous that extra individuals are utilizing its providers because the variety of transactions have elevated in the course of the pandemic. Like many different international locations, India had additionally launched lockdown measures, which pressured many bodily enterprise places to close down.

iServeU notes that residents of rural communities started to make use of its providers in the course of the lockdown interval.

The acquisition ought to assist Niyogin additional develop and provide key monetary providers to India’s underbanked residents. The Fintech agency supplies credit score, digital wealth, and funds merchandise. Amit Rajpal, chairman and co-founder at Niyogin Fintech, stated that the acquisition will assist the corporate with providing extra complete Fintech providers.

Rajpal said:

“We welcome iServeU and the crew to the Niyogin household. They bring about with them a singular platform, attain, and expertise that can be of immense profit to Niyogin. We proceed to make strategic investments in successfully utilizing know-how… Niyogin’s capabilities mixed with iServeU’s digital platform … will [help us assist the financially] underserved … and permit us to develop [our] product stack and addressable market.”

Debiprasad Sarangi, co-founder and CEO at iServeU Applied sciences remarked:

“We see Niyogin as a long-term strategic companion and are enthusiastic about what Niyogin and iServeU can ship collectively to rural prospects and micro-businesses, rework communities, leverage know-how to empower individuals and speed up a lot wanted financial-inclusion in India. The capital [injection] can be used to scale and speed up development.”

The acquisition is topic to regulatory approval and different customary closing necessities.  As first reported by CNBCTV18, Equirus Capital served because the monetary advisor to iServeU for this deal.

Niyogin supplies each credit score and non-credit merchandise together with a digital wealth answer, referred to as “Moneyfront.” The corporate claims that it has greater than $100 million in belongings beneath administration (AUM).