In a strategic move to bolster its market position, fintech firm VeeFin has acquired a 26% stake in EpikInDiFi, a software solution provider for banks, through a cash-and-share swap deal. This acquisition, which values EpikInDiFi at INR 125 crore, marks VeeFin’s third acquisition in recent months. The deal is expected to enhance VeeFin’s capabilities in digital retail lending and expand its footprint in the fintech sector, positioning the company for future growth and innovation.
Strategic Acquisition to Enhance Capabilities
VeeFin’s acquisition of a 26% stake in EpikInDiFi is a significant step in its growth strategy. The deal, valued at INR 125 crore, involves a cash-and-share swap, reflecting the confidence of both parties in the potential synergies. VeeFin plans to invest an additional INR 25 crore in EpikInDiFi over the next two to three years, with the aim of eventually acquiring a 100% stake in the company.
EpikInDiFi, founded by ex-Infosys executives, provides cloud-based fintech automation solutions to banks and financial institutions. The acquisition will enable VeeFin to integrate these solutions into its existing offerings, thereby enhancing its capabilities in digital retail lending, including personal loans, green loans, BNPL schemes, credit cards, mortgage loans, and SME loans. This strategic move is expected to create new revenue streams and strengthen VeeFin’s market position.
The founders of EpikInDiFi, Rajendra Awasthi, Sushmitshri Babu, and Vaidyanathan Balasubramaniam, will join the VeeFin Group along with their team. Their expertise and experience will be invaluable in driving the integration process and achieving the strategic objectives of the acquisition.
Expanding Market Reach and Product Offerings
With this acquisition, VeeFin aims to expand its market reach and diversify its product offerings. The company has been on a growth trajectory, with its platform achieving an annual supply chain financing worth $25 billion. The integration of EpikInDiFi’s solutions will enable VeeFin to offer a comprehensive suite of fintech services, catering to the diverse needs of banks and financial institutions.
The acquisition is part of VeeFin’s broader strategy to build an end-to-end working capital solution for corporations in India and globally. By leveraging EpikInDiFi’s expertise in intelligent automation across identity, decisioning, lending, and collection for retail products, VeeFin will be able to offer more efficient and effective solutions to its clients. This will not only enhance customer satisfaction but also drive business growth.
VeeFin’s previous acquisitions of Nityo Infotech and Regime Tax Solutions earlier this year have already strengthened its position in the market. The addition of EpikInDiFi to its portfolio further solidifies VeeFin’s commitment to innovation and excellence in the fintech sector.
Future Prospects and Strategic Vision
The acquisition of EpikInDiFi is a testament to VeeFin’s strategic vision and commitment to growth. The company plans to leverage its strong financial position to explore new markets and invest in cutting-edge technologies. This forward-looking approach is expected to drive sustained growth and create value for its stakeholders.
VeeFin’s leadership team, led by co-founders Raja Debnath and Gautam Udani, remains focused on executing its growth strategy and achieving its long-term vision. The integration of EpikInDiFi’s solutions will play a crucial role in this journey, enabling VeeFin to offer a comprehensive suite of fintech services and maintain its competitive edge in the market.
The company’s commitment to innovation and customer satisfaction has been a key driver of its success. By continuously seeking to understand and meet the evolving needs of its customers, VeeFin ensures that its products and services remain relevant and appealing. This customer-centric approach, combined with strategic investments and a strong brand identity, positions VeeFin for continued success in the dynamic fintech market.
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