Zaggle, a SaaS fintech firm, acquired a 26% stake in Mobileware Technologies, a digital payment solution provider, for ₹15.6 crore on a post-issue, fully diluted basis.
Mobileware Technologies will use the newly acquired funds will be utilized to expand the team, drive product innovation, and enhance the range of product offerings.
This investment will allow Mobileware to boost productivity, tap into new customer segments, and potentially establish a presence in international markets.
Mainly, this investment will enable Mobileware Technologies to bridge the gap between financial services and technology by enhancing its flagship API banking platform, TransXT, also known as ‘Bank in a Box.’
Currently, TransXT serves over 80 banks and 20 fintech companies, either through direct banking relationships or system integrator (SI) partnerships. Mobileware provides seamless, secure digital payment solutions including NPCI-certified UPI, IMPS, BBPS, and AePS switches.
The acquisition will enable Zaggle to leverage Mobileware’s expertise and infrastructure to enhance its payment offerings. Mobileware’s UPI switch solutions, available both on-premises and in the cloud, will empower Zaggle to develop and co-create new use cases for clients, including solutions for lending, credit, and card management services. This collaboration will strengthen Zaggle’s ability to deliver cutting-edge embedded payment experiences to its clientele.
Satyajit Kanekar, Co-Founder of Mobileware Technologies, said, “With the increasing volume of digital transactions, we are witnessing a revolution that extends beyond borders. According to the ACI Worldwide Report, approximately 49% of global real-time payment transactions occur in India. This underscores that digital transformation in the payment landscape is no longer optional; it is essential for businesses aiming to remain competitive and meet the changing expectations of their customers. This investment marks a pivotal moment for us to further innovate in the payments space and strengthen our partnerships with banks and financial institutions across the country.”
Amitabh Kanekar, Co-Founder of Mobileware, added, “The investment from Zaggle serves as a significant endorsement of our vision and capabilities. With our established partnerships with NPCI and a strong commitment to compliance and security, we are well-positioned to enhance India’s digital infrastructure and contribute to a cashless economy. At Mobileware, we are dedicated to making digital payments faster, safer, and more accessible for everyone.”
“This strategic investments will not only enhance our offerings but also open up new opportunities to co-develop advanced solutions for our customers. Mobileware has been at the forefront of driving innovation in digital payments in India. Their expertise in developing robust payment infrastructure, especially in UPI and other NPCI-certified solutions, aligns seamlessly with our vision of providing integrated and effortless payment experiences,” said, Raj Narayanam, Founder & Executive Chairman, Zaggle Prepaid Ocean Services Limited.
Mobileware founded in 2010 by Satyajit Kanekar and Amitabh Kanekar has played a pivotal role in transforming the digital payments landscape in India through its integrated suite of NPCI-certified switch solutions, including UPI, IMPS, AEPS, and BBPS.
Mobileware, is a player in India’s digital payments ecosystem empowering banks, financial services, NBFCs, and all financial institutions with their 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’!).
Recently, Zaggle Prepaid Ocean Services have acquired a 98% controlling stake in TaxSpanner for ₹32.07 crore.
