India-based, AI-driven credit-led wellness platform CASHe has acquired Gurgaon-based wealthtech platform Sqrrl, marking its entry into the country’s wealth management space.
The financial terms of the all-cash deal were not shared.
Established in 2017, Sqrrl is a mobile-first wealth management platform providing mutual fund investing, goal-based investment, tax saving plans, fixed deposit as well as round-up investing or micro-investing.
The firm, which is focused on millennials and Gen Zs, is said to have over 5,00,000 users across the country.
As part of the acquisition, Sqrrl’s team of 10 employees will become part of CASHe while its co-founders will join the senior leadership team.
Sqrrl co-founder Samant Sikka said: We are delighted to join Cashe… This move will help the business scale up further by offering Sqrrl’s investment products to Cashe’s massive customer base with just a few clicks. We will continue to focus on our strategy, centred around stable and sustainable growth in the wealth management business.”
The deal follows CASHe’s $18.7m equity funding this January and will allow the firm to extend mutual funds, fixed deposits and other investment options to its customers.
The company said that the strategic buy-out would expand its millennial-focused credit-led product and services suite to include investment and wealth management offerings.
CASHe founder and chairman V Raman Kumar said: “A big part of our plan is to broaden our offerings to cover investment and insurance products. Our last fund raise was for this expansion as well.
“But what’s important is that with the Sqrrl acquisition, we get a wealth-tech platform that lets our customers save and invest now… Sqrrl was the right fit since we saw the opportunity to scale it, as compared to other wealth-tech players which are well-funded.”
This February, Indian financial service firm Cosmea Financial Holdings established its wealth management business.