Hyderabad-based Payswiff in talks to allot 72% stake to Cholamandalam Investments for Rs. 450 cr.1 year ago Rituka M
Hyderabad-based Payswiff allots a 72.12% stake to Cholamandalam Investments. According to a regulatory filing, Cholamandalam Investments has signed a Share-purchase agreement and Shareholders’ agreement on Jan 17th with Payswiff. They plan to acquire a 72.12% stake in the fintech payment solutions provider.
Hyderabad-based startup, Payswiff is an omnichannel payment transaction solution provider, that enables online payment gateway services for e-commerce businesses. Providing e-commerce solutions, Payswiff allows business owners to accept payments from customers in-store, online, on the go using mPOS & POS solutions, or cash on delivery.
Payswiff (previously ‘Paynear’) was founded in 2013 by Prabhu Ram, Priti Shah, Anil Bharadwaj, Ravi, Krishna, and Maulik Shahof. Aiming to build a seamless experience for the merchant, Payswiff intends to make commercial transactions easier, simpler, and safer. They connect commerce and banking across all channels efficiently, conveniently, and securely.
READ MORE: Hyderabad based Payswiff taking the digital world by a storm
Having partnered with PhonePe, Mastercard, Visa, and RuPay, among others, Payswiff deployed 3 lakh devices with over 7 million transactions monthly. Payswiff has a significant reach across India and 7 locations globally and has over 45 partner banks for processing transactions. Over the years, Payswiff has grown to a strong team of over 330 employees and continues to grow. Expanding from their flagship product, Payswiff ONE, their latest offering is PayswiffNXT.
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Cholamandalam Investment and Finance Company (CIFC) is a Non-banking Financial Company under the leading business conglomerate, Murugappa Group. On Jan 17th, CIFC announced its’ plans to acquire a 72.12% equity stake in Payswiff for INR 450 crores. This investment may take place in one or more tranches at a price of Rs. 1,622.66 per share on a fully diluted basis.
Clocking a turnover of INR 21,058.34 Lakh in 2020-21, which is a 218.34% increase over the same figure in 2019-20. In a statement, CIFC officials said, “The proposed acquisition is in line with the long-term strategy of the company to explore and expand in the entire lending ecosystem model particularly in the SME segment. Therefore, Payswiff being a part of the technology ecosystem in the SME segment will add value to the existing Chola ecosystem.”