Indiabulls to buy 70% of Fintech Cloud in ~$110M share deal
What's the deal? Indiabulls VenturesDealroom has a profile for this one. Try Dealroom → will acquire a 70% stake in Fintech Cloud Private LimitedDealroom has a profile for this one. Try Dealroom → for Rs 1,050 crore (approximately $110 million), the company said in an exchange filing. The deal values the fintech firm at Rs 1,500 crore on an equity basis.
What each side does: Fintech Cloud is a loan service provider offering technology for loan origination, underwriting, and servicing to regulated entities, including non-banking financial companies (NBFCs). Indiabulls is using the acquisition to enter the fintech segment and expand its technology business serving NBFCs.
The terms: The acquisition will run through a scheme approved by the National Company Law Tribunal (NCLT). Indiabulls will settle the consideration by issuing up to 21 crore fully paid-up equity shares, subject to pricing and regulatory rules. It will also appoint most of Fintech Cloud's board directors immediately.
The numbers: Fintech Cloud reported gross revenue of Rs 133.77 crore and profit before tax of Rs 30.31 crore in FY26. That marks a sharp jump; the company, incorporated in January 2021, posted no turnover in FY24 or FY25.
Why now? The move gives Indiabulls a foothold in technology solutions for lenders through a business that only recently began generating revenue. Indiabulls said the deal is not a related-party transaction and that its promoter group holds no interest in Fintech Cloud.
What could go wrong? The transaction is expected to close within nine to 12 months and hinges on approvals from the NCLT, the Securities and Exchange Board of India (SEBI), stock exchanges, and shareholders.
The signal: The deal reflects how established financial firms are buying their way into fintech infrastructure rather than building it, betting on technology-led lending as NBFCs digitise their loan processes.
Read more: ndtvprofit.com
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