Zaggle has also acquired a 12.34% stake, representing a portion of the post-closing issued and paid-up capital of the company, on a fully diluted basis, from the promoters of Mobileware for Rs7.25 crores
Raj P. Narayanam, Founder & Executive Chairman, Zaggle Prepaid Ocean Services with Satyajit Kanekar, Co-founder of Mobileware Technologies (Photo by arrangement)
Hyderabad: Zaggle Prepaid Ocean Services Limited, India’s leading Spend Management company, has announced a strategic investment in Mobileware Technologies. The company has invested Rs 15.60 crores to acquire a 26% ownership stake on a post-issue and fully diluted basis.
In addition, Zaggle has acquired a 12.34% stake, representing a portion of the post-closing issued and paid-up capital of the company, on a fully diluted basis, from the promoters of Mobileware for Rs7.25 crores.
Post this investment and acquisition, Zaggle's total shareholding in Mobileware Technologies now stands at 38.34% on a post-issue and fully diluted basis. This move highlights Zaggle’s commitment to strengthening its position in the Spend Management sector and reinforcing its partnership with Mobileware as part of its ongoing strategic growth initiatives.
Mobileware is a prominent player in India's digital payments ecosystem empowering banks, financial services, NBFCs, and all financial institutions with its extensive suite of products, encompassing NPCI-certified switch solutions, including UPI, IMPS, AEPS, BBPS, and proprietary API banking platform, TransXT, (also known as ‘Bank In A Box’!). The integration with Mobileware has already started to enhance Zaggle’s offerings in to provide cutting-edge embedded payment experiences to its clientele. The strategic move to further increase its stake in the digital payments company reflects Zaggle’s commitment to solidify its position in the SaaS FinTech sector, allowing it to deliver greater value and foster growth for its diverse customer base.
Speaking about the development, Dr. Raj P. Narayanam, Founder & Executive Chairman, Zaggle Prepaid Ocean Services Limited said, “We are excited about this strategic investment, which will enable us to co-develop advanced solutions tailored to our diverse customer base. Mobileware’s proven expertise in building robust payment infrastructures, particularly in UPI and other NPCI-certified solutions, perfectly aligns with our vision of delivering seamless, integrated payment experiences. Zaggle remains committed to enhancing its product portfolio through targeted acquisitions over the next financial year, creating significant value for all our stakeholders.”
The move will enable Zaggle to leverage Mobileware’s infrastructure and expertise to enhance its payment solutions. Mobileware’s UPI switch solutions, available both on-premises and in the cloud, will enable Zaggle to develop and co-create new use cases for clients, including solutions for lending, credit, and card management services.
“This development marks a significant milestone in our ongoing commitment to delivering innovative and holistic solutions across industries. Over the past six months, Zaggle has successfully integrated its cutting-edge technologies with Mobileware’s advanced suite of offerings, resulting in a seamless and comprehensive experience for our clients. This collaboration has empowered us to enhance our service capabilities, optimize digital payment solutions, and expand our reach to a broader and more diverse customer base. By harnessing this synergy, we are not only addressing the evolving needs of various sectors but also setting new standards for efficiency, security, and customer-centric innovation.” – Mr. Avinash Godkhindi, Managing Director and CEO, Zaggle.
"This investment marks a pivotal milestone in our journey to transform the digital payments infrastructure ecosystem" said Satyajit Kanekar, Co-founder of Mobileware Technologies. "At Mobileware, we are committed to driving digital innovations and delivering resilient and future ready payment solutions. Zaggle’s strategic vision aligns perfectly with our mission to power businesses with cutting-edge digital payments processing. We aim to redefine the digital payments landscape by combining our deep technological experience with industry-leading expertise. This collaboration will help us invest in technological innovation, product enhancements to provide efficiency, scalability, and security, ensuring a superior payments experience for our customers. With the potential to grow internationally and upgrade our current offerings we are setting new benchmarks in digital payments excellence, we will continue to power the evolving needs of Banks, FinTechs, and Enterprises across the ecosystem."
Zaggle had reported a 29.6 per cent increase in consolidated profit after tax to Rs 19.7 crore in the October-December 2024 quarter, an increase from Rs 15.2 crore from last year. The company had recently raised ₹595 crore through a Qualified Institutional Placement (QIP), with the funds earmarked for strategic acquisitions and to achieve a $1 billion revenue target.
( Source : Deccan Chronicle )
Next Story