Hyderabad-based Payswiff has allocated a 72.12% stake to Cholamandalam Investments, as per a regulatory filing. Cholamandalam Investments finalized a Share Purchase Agreement and Shareholders’ Agreement with Payswiff on January 17th, 2024, to acquire this significant share in the fintech payment solutions provider.
Payswiff Allocates 72.12% Equity to Cholamandalam Investments
Background:
Founded in 2013 by Prabhu Ram, Priti Shah, Anil Bharadwaj, Ravi Krishna, and Maulik Shah, Payswiff (formerly known as Paynear) is an omnichannel payment transaction solutions provider. The company offers comprehensive e-commerce payment solutions, enabling businesses to accept payments through various channels including mPOS, POS, online gateways, and cash on delivery. Payswiff is committed to simplifying and securing commercial transactions by integrating commerce and banking across all platforms.
With partnerships including PhonePe, Mastercard, Visa, and RuPay, Payswiff has deployed 300,000 devices and handles over 7 million transactions monthly. The company has a robust presence across India and in seven international locations, supported by over 45 partner banks. Payswiff’s growth trajectory is underscored by its expansion from its flagship product, Payswiff ONE, to its latest offering, PayswiffNXT.
Recent Investment:
Cholamandalam Investment and Finance Company (CIFC), part of the Murugappa Group, announced plans on January 17th to acquire a 72.12% equity stake in Payswiff for ₹450 crore. This investment, which could be executed in one or more tranches at a price of ₹1,622.66 per share on a fully diluted basis, aligns with CIFC’s strategy to enhance its presence in the lending ecosystem, particularly within the SME sector. CIFC officials highlighted that this acquisition complements their goal of expanding and enriching the Chola ecosystem with technology-driven solutions in the SME segment.