Consumer credit provider Cashe has forayed into wealth management with the acquisition of Gurgaon-based investment platform Sqrrl Fintech in an all-cash deal. The deal is subject to regulatory approvals. Cashe had received Rs 140-crore equity funding in January from its Singapore-based holding company TSLC Pte Ltd. At that time it had said it plans to enter the wealth management space.
“A big part of our plan is to broaden our offerings to cover investment and insurance products. Our last fundraise was for this expansion as well,” said V Raman Kumar, founder and chairman of Cashe.
As a part of the deal, Sqrrl’s 10-member team will join Cashe, while its founders will join the senior leadership of the digital lender.
With the acquisition, Cashe will provide mutual funds, fixed deposits and other investment options to its customers. Sqrrl will retain its identity and operate as an independent platform.
Cashe, founded in 2016, provides digital lending products, including personal loans, a credit line and buy-now-pay-later (BNPL) services to customers. It claims it has 20 million customers and that it disburses Rs 200-220 crore in loans every month.