The sharp surge in the share price comes after the company announced that the Reserve Bank of India (RBI) approved its application for a Non-Banking Financial Company (NBFC) licence, marking a key milestone in its efforts to strengthen its financial services business.
The licence will allow the launch of a new lending arm, MobiKwik Financial Services Private Limited (MFSPL), a wholly-owned subsidiary of the group. Through this entity, the company plans to expand its regulated lending capabilities, introduce innovative credit products, and serve a wider base of consumers and merchants with greater efficiency and control.
The development is in line with the group’s long-term strategy of building a full-stack fintech platform focused on accessible, responsible and technology-driven financial products.
The NBFC will build on the group’s existing strengths, including a customer base of more than 186 million users, a trusted brand, and strong technology infrastructure with risk underwriting and collections capabilities.
MFSPL, the group’s inhouse NBFC, is expected to help launch new credit products with faster go-to-market execution, offering both secured and unsecured lending solutions to consumers and MSMEs in underserved geographies. Operations will begin after receipt of the Certificate of Registration (CoR) from the RBI upon fulfilment of certain conditions.
Commenting on the development, Upasana Taku, Executive Director, Co-founder and CFO of MobiKwik, said, “The NBFC application approval is a pivotal step in MobiKwik Group’s evolution into a scaled financial services platform. We are especially happy that the application has been approved in under four months, which is an endorsement of the credibility of the Group, and grateful to the RBI for reposing its faith in us. This gives us the regulatory framework to deepen our credit offerings while maintaining strong governance and risk discipline. We will continue to responsibly serve the credit needs of Bharat and build products that genuinely improve financial inclusion.”The NBFC structure will allow MobiKwik to use its technology capabilities, AI-ML models and large user base to deliver personalised financial products suited to diverse customer needs. While the primary focus will remain on Tier 2 and Tier 3 cities, services will be offered across the country, tapping India’s broad geographic potential.
The strategy is aimed at improving financial inclusion in underpenetrated regions by expanding access to credit and driving wider adoption of financial services.
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