Niyogin Fintech has unveiled a restructuring plan with the approval of a composite scheme of arrangement and amalgamation, paving the way for the demerger of its NBFC business and iServeU (iSU) into separately listed entities.
The move aligns with Niyogin Fintech’s long-term vision to create independent and high-growth businesses. Niyogin Finserv will drive the expansion of the NBFC segment, focussing on FinTech collaborations, data-driven lending and financial inclusion to build a high-margin and scalable lending portfolio.
Meanwhile, iServeU will transition into a stand-alone SaaS-driven business model, reducing its reliance on revenue-sharing arrangements. This shift is expected to enhance predictable revenue streams, strengthen partnerships and unlock new growth opportunities.
Amit Rajpal and Gaurav Patankar, Founders, Niyogin Fintech, expressed their views during a special earnings call, underlining the importance of the restructuring and the company’s commitment to transparency and stakeholder value creation.
Commenting on the development, Tashwinder Singh, Managing Director (MD) and Chief Executive Officer (CEO), Niyogin Fintech, stated, “The Board’s approval of the demerger reaffirms our commitment to create two agile, high-performing businesses that can focus on their core strengths, unlock growth potential and deliver enhanced value to stakeholders.”
Despite the transformation, the company reported muted quarterly performance, impacted by stricter KYC norms affecting Domestic Money Transfer (DMT) volumes. However, its SaaS vertical showed strong resilience, maintaining a steady deployment of ~50,000 devices per quarter, with the contract pipeline surging to ~7 lakh devices.
As the company embarks on this new phase, it remains committed to leverage innovation, strategic alliances and FinTech-driven solutions to fuel long-term growth and value creation.
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