MobiKwik Floats NBFC, To Apply For Licence

Listed fintech company MobiKwik on Wednesday (April 23) announced the incorporation of a wholly-owned non-banking financial company (NBFC), Mobikwik Financial Services Private Limited (MFSPL). However, the company has yet to apply for an NBFC licence.

In its exchange filing, MobikWik said that the NBFC arm, MFSPL, has been incorporated after bagging all the required approvals from the Ministry of Corporate Affairs and Central Processing Centre. It has allocated an initial paid-up share capital of INR 1 Lakh for the newly set up subsidiary.

As an NBFC, the MobiKwik subsidiary will engage in financing all types of leasing, hiring, and purchases related to business expenses like machinery, plant, equipment, ships, vehicles, aircraft, rolling stock, factories, movable and immovable property, the company said in its filing.

Just a few days ago, the fintech major joined hands with Poonawalla Fincorp to offer instant personal loans of up to INR 15 Lakh.

Last month, it also set up a wholly-owned subsidiary Mobikwik Securities Broking Private Limited to enter the country’s burgeoning investment tech market. With this move, it is looking to lock horns with heavyweights like Zerodha and Groww.

In February, the fintech startup picked up an additional 3.39% stake in B2B banking infrastructure company Blostem Fintech Private Limited for INR 1.5 Cr, taking total shareholding in Blostem to 6.79%.

Founded in 2009 by Bipin Preet Singh and Upasana Taku, MobiKwik listed on the Indian bourses in December 2024. After touching its all-time high of nearly INR 698 on December 26, 2024, the fintech platform’s stock has cratered nearly 60%, closing Wednesday trade at INR 279.65 on the BSE.

The sharp reversal of its fortune on the bourses has come on the back of a higher-than-expected loss of INR 55.28 Cr in Q3 FY25, even though operating revenue jumped nearly 18% YoY to INR 269.47 Cr. Meanwhile, the company is yet to file its financial statements for Q4 FY25.

The post MobiKwik Floats NBFC, To Apply For Licence appeared first on Inc42 Media.