Bengaluru-based Perfios Software Solutions has acquired the intellectual property rights and other assets of digital lending solutions provider FintechLabs Technologies for an undisclosed sum.
Noida-based FintechLabs Technologies is engaged in the business of providing digital lending management software to banks, NBFCs (non-banking finance companies), digital lenders and financial institutions in India and overseas.
Founded in 2015 by Vishal Sahu and Vipul Rawal, FintechLabs initially provided digitisation and automation services to mainstream lenders and later diversified into peer-to-peer lending solutions for banks, NBFCs and online marketplaces. The company claims that its solutions are used by over 40 clients across 10 countries in India, Southeast Asia and Middle East region.
“We are excited to be part of the Perfios family, we believe that our solutions are complementary in nature and with Perfios being so deeply entrenched in the digital lending space, we expect that the Perfios relationship will provide a strong fillip to our solutions in terms of scale and access to market,” Rawal said in a statement.
In 2017, the company was one of three fintech startups selected from Axis Bank’s ‘Thought Factory’ accelerator programme to commercially deploy their solutions at the bank’s business units.
Perfios, founded in 2008 by VR Govindarajan and Debashish Chakraborty, raised $6.1 million in a Series A funding round in early 2017 from Bessemer Venture Partners. Earlier it also raised capital from a number of angel investors, including Helion Venture Partners founder Ashish Gupta.
“We are always keen to explore opportunities which provides us with new revenue sources, better tech capabilities and strengthen relationships with our clients and FintechLabs fits very well with us,” Govindarajan said.
Prior to founding Perfios, Govindarajan was chief technology officer and member of the board at product development firm Aztecsoft while Chakraborty worked with technology companies such as Wipro and IBM India.
The company provides fintech solutions to financial institutions in real-time decisioning, analysis and credit underwriting, and claims a client list of over 300 lenders. It competes with fintech players such as Groww, Fisdom, Scripbox, WealthTrust and Tauro Investment Advisors.
Investment banker Mersis Advisors acted as the exclusive advisor to Perfios in the Fintechlabs acquisition.