Zaggle acquires minority stake in Mobileware Technologies for $1.8m

By Gloria Mathias

Zaggle Prepaid Ocean Services, a B2B SaaS FinTech firm, has announced the acquisition of a minority stake in Mobileware Technologies  (now known as 86400). The firm will invest $1.8 million (INR 15.6 crores) for a 26% ownership stake on a post-issue and fully diluted basis.

Mobileware empowers banks, financial services, NBFCs, and all financial institutions with its extensive suite of products, which encompasses NPCI switches, APIs, and its flagship platform, TransXT (aka ‘Bank in a Box’). This investment aims to enhance Zaggle’s capabilities in the FinTech space, particularly in embedded payment solutions.

The acquisition will enable Zaggle to leverage Mobileware’s expertise and infrastructure to enhance its payment offerings. Mobileware’s UPI switch solutions, available both on-premises and in the cloud, will empower Zaggle to develop and co-create new use cases for clients, including solutions for lending, credit, and card management services. This collaboration will strengthen Zaggle’s ability to deliver embedded payment experiences to its clientele.

“This strategic investment will not only strengthen our offerings but also create new opportunities to co-develop advanced solutions that place payments at the core of our client’s business needs. Mobileware has been a leader in driving innovation in digital payments in India. Their expertise in building robust payment infrastructure, particularly in UPI and other NPCI-certified solutions, aligns perfectly with our vision of delivering seamless and integrated payment experiences. We look forward to closely collaborating with the Mobileware team to accelerate our growth in the digital payments and spend management space,” said Raj Narayanam, Founder & Executive Chairman of Zaggle Prepaid Ocean Services Limited.

“Our collaboration with Zaggle marks a significant milestone in the journey of both brands. As the industry evolves, customers increasingly seek integrated and holistic solutions, particularly in the BFSI sector. Zaggle’s strategic vision aligns perfectly with our goal of transforming the digital payments landscape. Together, we will leverage our combined strengths to deliver enhanced, secure, and more integrated payment experiences for our diverse clientele,” said Satyajit Kanekar, Co-Founder & CEO of Mobileware.

Mobileware’s leadership team will continue to lead the company’s operations, ensuring continuity and a strong focus on scaling the business. The team of 120 employees will remain dedicated to expanding Mobileware’s offerings while collaborating closely with Zaggle to enhance solutions for clients across various sectors.