PB Fintech creating new payment aggregator under PolicyBazaar parent company.

TLDR:

• PolicyBazaar’s parent company, PB Fintech, is forming a payment aggregator subsidiary called PB Pay Private Limited.
• The proposed company will apply for an RBI license to conduct payment aggregator business.

PolicyBazaar’s parent company, PB Fintech, has announced the formation of a new subsidiary focused on payment aggregation. The new entity, called PB Pay Private Limited, will be engaged in facilitating merchants with offline and digital payment acceptance infrastructure. The proposed company will have a paid-up share capital of ₹27 crore and will seek to obtain a Payment Aggregator License from the Reserve Bank of India to conduct payment aggregator business. This move comes on the heels of Singapore-based Temasek Holdings selling its stake in PB Fintech and the acquisition of shares by US-based financial services company Capital Group.

In addition to these developments, Japanese conglomerate Softbank’s arm also recently divested a stake in PB Fintech, highlighting the dynamic changes in ownership within the company. PB Fintech reported a net profit for the third quarter ended December 31, 2023, marking a significant turnaround from the previous fiscal year. With revenue from operations increasing by 42.7%, the company is poised for growth and expansion in the payment aggregator space.

Overall, the formation of PB Pay Private Limited signals PB Fintech’s strategic move to enter the payment aggregation market, further diversifying its portfolio and strengthening its position in the fintech industry.