Peak XV Partners-backed BharatPe is reportedly separating its lending service provider (LSP) business from the main entity by forming a new wholly owned subsidiary for lending.
The new entity will be named BharatPe Money. It will be a complete lending division for both merchants and consumers, Entrackr reported citing sources.
“BharatPe consumer face Postpe will be part of this new entity along with BharatPe Easy Loans,” a source was quoted as saying.
BharatPe declined to comment on Inc42’s queries on the latest development.
The fintech major has incorporated a new subsidiary named Resilient Digi Services Private Limited for its new vertical. As per the company’s regulatory filing, BharatPe’s CFO and interim CEO Nalin Negi is one of the directors of the subsidiary, along with Rijish Raghavan – CEO of BharatPe Group’s Zillion.
Kohinoor Biswas, the head of BharatPe’s consumer lending business, and Raghavan will lead the new entity as directors, one of the sources told the publication.
On the other hand, Negi might reportedly exit Resilient Digi Services.
“All these activities are part of strengthening internal corporate governance in the company. So, anyone who will be part of Resilient Innovations can’t be part of the new entity,” the source was quoted as saying.
Resilient Innovations is the parent entity of BharatPe.
Former ICICI Bank executive Biswas joined BharatPe earlier this year amid a massive rejig in the top management of the company following an ugly spat between the company and its former MD Ashneer Grover.
The publication also reported that BharatPe might soon receive the final approval for payment aggregator and payment gateway licence from the Reserved Bank of India (RBI).
Meanwhile, amid the ongoing legal battle with Grover, BharatPe has been trying to improve its business. It claimed to have turned EBITDA positive in the month of October.
The startup also said this week that its annualised revenue has crossed INR 1,500 Cr in FY24, an increase of 31% year-on-year.
With a mix of businesses focussed on different segments, BharatPe, which is eyeing a public listing in 2025, appears to have taken the fintech super app route.
As per recent reports, the fintech unicorn is also looking to raise $100 Mn in a new round of funding.
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