Mintoak Acquires Digiledge To Add CBDC, Bill Payments Capabilities

Fintech SaaS platform Mintoak has acquired Bengaluru-based Digiledge to add bill payments and Central Bank Digital Currency (CBDC) solutions to its digital payments platform. 

The acquisition was made via an all-cash deal and the fintech startup will operate as a subsidiary of Mintoak post the acquisition. However, the size of the deal was not disclosed.

In a statement, Mintoak said that the acquisition will strengthen its merchant payment offerings with the addition of bill payments and CBDC.

“By embedding CBDC acceptance into merchant platforms, banks can future-proof their payment ecosystems and provide an omnichannel payment experience for SMEs,” Mintoak said. 

Founded in 2017 by Raman Khanduja, Rama Tadepalli and  Sanjay Nazareth, Mintoak partners 

banks to digitise small businesses and merchants by allowing them to use their mobile phones to accept all forms of payments, including cards, QR code, UPI, among others. It also provides commerce enablement solutions to the merchants.

The Mumbai-based startup works with banks in six countries across South Asia, Africa and the Middle East. It counts HDFC Bank, SBI, Yes Bank, Axis Bank, among others, as its partners. It claims to have more than 3 Mn merchants, 3 Bn annual transactions and $50 Bn annual gross merchandise value (GMV).

Meanwhile, Digiledge was also founded in 2017 by Mahesh Govind and Chandni Mahesh. It offers blockchain solutions for financial services and claims that its bill payments and CBDC stack enhances payment infrastructure and digitises financial workflows. 

Commenting on the acquisition, Digiledge cofounder and CEO Govind said, “Joining forces with Mintoak opens up new opportunities for us to operate at scale and expand our reach into international markets. This partnership empowers us to deliver more value and support the SME ecosystem globally.”

Digiledge works with some of the leading banks in southern India like Federal bank, Karnataka Bank, Canara Bank, Indian Bank and CSB Bank.

“Now they (Digiledge) have a much wider canvas to play with as we can pitch their products to much larger banks… We want to give them all the capital support required to play at a larger level and the independence to run the business the way they have been running,” Mintoak cofounder Khanduja said. 

He added that Mintoak is now aiming to grow in its existing markets, Middle East and Africa, and also plans to expand to Southeast Asia. 

On the financial front, the startup reported a revenue of INR 83 Cr in the financial year 2023-24 (FY24), and is on course to clock a 35-40% year-on-year (YoY) growth in revenue in FY25, said Khanduja.  

The acquisition comes a couple of months after Mintoak saw a secondary deal of INR 71 Cr (around $8.2 Mn). The round saw early-growth technology investor Z3Partners buy stakes from the Mumbai-based startup’s early backers HDFC Bank and Pravega Ventures.

In 2023, Mintoak raised $20 Mn in its Series A funding round led by PayPal Ventures, along with its existing investors.