Fintech startup M2P, which specializes in providing digital banking infrastructure to fintech firms, as well as banks, has acquired credit card sourcing startup Wizi, the cofounder of M2P Madhusudanan. The acquisition is expected to boost its plug and play credit card platform.
Sources close to the development said the deal was a combination of cash and stocks, valuing Wizi at around $ 5 million. The M2P founders declined to comment on the deal specifics.
Chennai-based M2P, also known as Yap, earlier this year launched a programmable credit card platform that enables banks and fintech firms to onboard and use application programming interfaces (APIs) to offer customizable corporate and commercial credit cards to its customers.
Madhusudanan said the acquisition is aimed at strengthening this piece
Wizi is a credit card-focused fintech company that, through its programs, offers digital services to bank credit card customers.
It manages both sourcing and credit card management, be it benefits, deals, revolving credit management, and more. The company said it has 300,000 users through its app.
“We launched our range of programmable credit cards in March of this year and in the first six months we signed up over half a dozen Banks; We realized that most banks in the card business did not have digital creation capabilities in addition to most of the existing products that lack basic mobile interfaces For customers to manage their credit card account, Wizi serves both these gaps elegantly,” Madhusudanan said.
He added that the three founders of Wizi and about 20 employees are ready to join the M2P team.
M2P raised $ 10 million led by Flourish Ventures and Omidyar Network in its last funding round in March 2021.
The startup has raised $ 15 million so far and counts Beenext, Better Capital, and angel backers such as BharatPe’s Ashneer Grover, Alok Mittal from Indifi, Amrish Rau from Pine Lab, and Kunal Shah from Cred as investors.
The firm was founded in 2014 by Madhusudanan, Muthukumar A, and Prabhu R.
The startup specializes as an API infrastructure company that helps companies connect and roll out their own branded products.
The firm said that it works with more than 500 fintech firms, Internet platforms, banks and financial institutions as product providers, and offers comprehensive software management services on all services including debit, credit, prepaid, QR, Unified Payments Interface and other payment solutions.
Its API products have been utilized by major technology companies such as Ola, Slice, Cred, Razorpay, among others, it said.
Source: Economics Times
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