Niyogin, a fintech startup, has acquired 51% strategic stake in iServeU Technologies for INR 592 Mn (US$ 8 Mn) in a cash and stock deal.
Bengaluru based iServeU has developed a scalable and inclusive payments infrastructure which enables small village merchants to serve local communities. The platform has been processing transactions worth US$500m annually. After the covid-19 outbreak and the nation wide lockdown, a large demographic of rural India have started using digital platforms for payments and other financial purposes. This has resulted in an increase in activity on iServU's platform as well.
“We see Niyogin as a long-term strategic partner and are excited about what Niyogin and iServeU can deliver jointly to rural customers and micro-businesses, transform communities, leverage technology to empower people and accelerate much needed financial inclusion in India," Debiprasad Sarangi, Co-Founder and CEO, iServeU Technologies said in a statement.
Sarangi points out, the capital infusion will be used to scale and accelerate growth with expanding foot-print deeper into rural India and new product innovation.
Founded by Amit Rajpal and Gaurav Patankar, Mumbai based Niyogin offers an end-to-end digital platform that provides financial assistance to small businesses. The company is working on another platform for B2B+C customers in India.
Equirus Capital, a wholly owned subsidiary Equirus Securities, acted as the exclusive financial advisor to iServeU for the deal.
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