Zaggle's Bold Entry Into Consumer Credit with Rio Money Acquisition

Zaggle Prepaid Ocean Services Ltd has announced a strategic acquisition, securing a 100 percent stake in fintech company Rio Money for Rs 22 crore. This move marks Zaggle's ambitious entry into the booming consumer credit card market via UPI, further diversifying its financial service offerings.

According to a statement from Zaggle, this acquisition is a crucial part of its broader plan to reinvest proceeds from its Rs 595 crore Qualified Institutional Placement (QIP) into growth-oriented, value-adding acquisitions. Rio Money, founded in 2023, is known for its innovative UPI app that integrates credit solutions seamlessly into transactions.

The acquisition is expected to spur innovation within Zaggle's existing remit in corporate spend management while propelling them into the consumer credit card sector. Raj P Narayanam, Zaggle's Founder & Executive Chairman, emphasized the potential for innovation, while Riya Bhattacharya, Founder and CEO of Rio Money, expressed enthusiasm for enhancing access to credit through this new collaboration.

(With inputs from agencies.)