Bengaluru, October 30, 2019
- In addition to PayU, current investors Saama Capital and Quona Capital also participated in the fresh round of investment
- Minority stake investment from PayU marks its entry into the wealthtech segment
: PayU, the payments and fintech business of Prosus, today announced its investment in Fisdom, a high-growth consumer wealthtech platform in India. PayU leads the fresh round of investment worth USD 11 million through the acquisition of a minority stake in the company. In addition to PayU, current investors Saama Capital and Quona Capital also participated in this round. This move marks PayU’s entry into a new segment, wealthtech, and demonstrates the company’s commitment towards investing into and building a broader fintech ecosystem in India around core payments and lending businesses.
Founded by Subramanya SV and Anand Dalmia, Fisdom is a high-growth wealthtech company operating a unique partnership model with banks which enables access to a large customer base and the distribution network, driving both the scalability and efficiency of the platform. Fisdom enables consumers to make smart investment decisions for their long-term financial health by helping them invest in multiple products including mutual funds, insurance, pension funds, digital gold, etc. Users can manage investments from their mobile phones in an easy and intuitive app interface.
The Indian wealth management industry, which has experienced significant growth in the last 10 years (21% CAGR 2011-2017) , is expected to remain strong, driven by the digital transformation that is opening the industry to the mass market (800mn+ potential customers). As per the industry reports, Indians have more than US$1.8 trillion  of their wealth in low-yield bank deposits and often don't invest in capital markets for various reasons - such as low financial literacy, low trust in market dynamics, and inertia to act. Fisdom fills an important gap in the Indian ecosystem by offering customised wealth management solutions to the vast majority of the population, largely unserved or underserved by traditional financial advisors.
Speaking on the investment, Anirban Mukherjee, CEO, PayU India, said “This investment marks PayU’s entry into the wealthtech segment and is in line with the company’s strategic goal of building a comprehensive digital fintech ecosystem connecting merchants, consumers, and banks locally. Fisdom, with its multi-product strategy and a robust and scalable digital platform offers immense cross-selling opportunities. The company has a strong management team led by experienced founders and we are happy to partner with them and work towards providing a broader fintech platform around core payments and lending business. With this investment, PayU is one step closer to offering payments, lending, and wealthtech services in a single stack.”
Subramanya S V, Co-founder, and CEO, Fisdom added, "We are delighted to have PayU on board in our journey of building Fisdom into a leading digital wealth platform bringing in simplicity, access and trust for millions of underserved customers. This investment allows us to continue innovating in order to better serve our consumers including bringing new products like insurance and broking. PayU, being one of the leading fintech players in the country, provides an immense opportunity that we are keen to explore. We are very happy that our earlier investors Saama Capital and Quona continue to support in our endeavour.”
PayU is one of the leading fintech investors in the region. The company is focused on empowering people through best-in-industry financial services. Fisdom’s aim to make wealth advisory available for all is a perfect fit for PayU, as the company works towards providing access to broader financial products and services.
A Prosus group company
PayU is the payments and fintech business of Prosus, a global consumer internet group and one of the largest technology investors in the world. Operating and investing globally in markets with long-term growth potential, Prosus builds leading consumer internet companies that empower people and enrich communities.
Prosus has a primary listing on Euronext Amsterdam (AEX:PRX) and a secondary listing on the JSE Limited (XJSE:PRX), and is majority owned by Naspers.
For more information on Prosus and its companies and investments, please visit www.prosus.com
Fisdom is a digital wealth management platform providing solutions across investments, savings and protection. Fisdom blends technology with financial advice to bring simplicity, accessibility and trust in financial products for the vast underserved population in India. The Company partners with banks and financial institutions to provide access to financial products to their customers. Fisdom has partnered with Oriental Bank of Commerce, Bank of Baroda, Allahabad Bank, Karnataka Bank, City Union Bank and several more. Currently Fisdom serves more than 200,000 active customers with a significant majority coming from tier 2 and tier 3 towns.
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