Veefin Group acquired Nityo Tech India to enhance its BFSI digital services portfolio.
The acquisition aims to leverage Nityo Tech's AI and machine learning solutions across 15 verticals, expanding Veefin’s offerings to banks.
This strategic move positions Veefin to compete more effectively in the financial technology sector, particularly in supply chain finance and digital lending.
Mumbai-based Veefin Group of Companies has bought Nityo Tech Private Limited, part of Nityo Infotech Singapore’s India-invested business, to expand its digital services in banking, financial services and insurance (BFSI) sector.
However, the company did not disclose the financial terms of the deal.
Nityo Tech is a provider of artificial intelligence and machine learning solutions and operates across 15 verticals, including insurance, telecom and healthcare. It claims to serve 3,000 clients across 44 countries.
With this acquisition, the company plans to leverage its infrastructure to offer services to banks, focused on product engineering, artificial intelligence and data.
Raja Debnath, chairman of Veefin, said, “This acquisition enables us to provide an extended product suite to banks aiming to digitise multiple verticals, positioning Veefin as the sole technology partner banks will ever need.”
Veefin competes against the likes of Veritas Finance, CapitalSetu, CashFlo, and Vayana Network in the financial technology sector.
It offers solutions in supply chain finance (SCF) and digital lending, with products for financial operations.
Naveen Kumar, founder and CEO of Nityo Infotech, said, “With Veefin’s strong presence in the financial sector, our reach to financial institutions is set to grow significantly within one unified ecosystem.”
As per Inc42 report, Indian fintech space was the second biggest recipient of VC funds between 2014 and June 2023 and accounted for 19% of the total $141 Bn raised by Indian startups during the period.
The fintech space is estimated to grow to a market size of $2.1 Tn by 2030, at a compounded annual growth rate (CAGR) of 18%.
