M2P aims to strengthen the plug-and-play model of its platform with the acquisition of Wizi
The deal was said to have been a mix of cash and stocks and brings Wizi’s valuation to around $ 5 million
M2P aims to bring platform capabilities to the top 50 banks in India and potentially the rest of the world
The Fintech startup M2P Fintech has announcement its acquisition of the credit card sourcing start-up Wizi. With this acquisition, M2P aims to strengthen the plug-and-play model of its platform. Reports suggest the deal was a mix of cash and stocks, taking Wizi’s valuation to around $ 5 million.
Launched in 2014 by Madhusudanan R, Muthukumar A and Prabhu R, M2P Fintech is an application programming interface (API) infrastructure startup that allows companies to integrate financial products into their clients’ journey in the framework of links with banks and other institutions. The company claims to have enabled more than 200 customers to date. M2P’s customer base includes technology companies such as Slice, Cred, Ola, Razorpay and others.
Founded in 2019, Wizi promotes itself as a great app for credit cards, allowing consumers to use new credit cards online, manage their existing cards, track payments and more. Wizi provides the provisioning and management of credit card services and claims to have nearly 300,000 on its app.
M2P launched its Programmable Credit Card platform earlier this year which has enabled banks and fintech companies to integrate and use APIs, providing customizable corporate and commercial credit cards to its customers. clients. As part of the agreement, the three founders of Wizi and nearly 20 employees will join the M2P team.
M2P, formerly known as YAP, had raised $ 10 million in its Series B financing in March this year from investors including Flourish Ventures and Omidyar Network India. He has, to date, raised $ 15 million from Beenext, Better Capital, Ashneer Grover of BharatPe, Kunal Shah of Cred and several others.
âWe rolled out the programmable credit card stack in March of this year and in the first 6 months we signed up to over half a dozen banks. We realized that most of the banks in the card issuance space did not have digital issuance capabilities, coupled with most of the products in place lacking basic mobile interfaces for customers to manage their account. credit card, âsaid Madhusudanan R, co-founder of M2P Fintech.
âWizi serves these two gaps with elegance. With their early traction, we are excited about the prospect of expanding the platform’s capabilities to the top 50 banks in India and potentially expanding them to the rest of the world, âhe added.
The acquisition of Wiz comes just days after M2P invested $ 4 million in LivQuik technology supported by Future Group to respond to early stage fintech startups that have not been adequately served due to high governance costs and uncertainty surrounding the business model and scalability.
As digital payments continue to accelerate in India, Niti Aayog, in her recent report titled “Digital Payments – Trends, Problems and Opportunities”, predicts that the online payments industry will reach $ 1 billion by 2023. In addition, the Indian prepaid card market alone is expected to grow over 35% CAGR from 2021 to 2026 and reach $ 340 billion by 2026.