Highlights
SaaS Fintech Platform Zaggle Prepaid Ocean Services Ltd Plans Expansion
Zaggle Prepaid Ocean Services Ltd, a cutting-edge SaaS fintech platform, intends to acquire a minimum of two companies in the forthcoming financial year to accelerate its growth strategy, a senior official revealed on Friday. This week, the innovative fintech firm successfully raised Rs 595 crore through a qualified institutional placement.
Strategic Acquisition Plans
“We are currently assessing 5 to 6 potential targets within the SaaS fintech sector, focusing on areas such as:
- Merchant card software
- Accounts receivables
- FASTag solutions
Our goal is to make at least two acquisitions in the next financial year,” stated Raj Narayanam, the founder and Executive Chairman. He further emphasised, “We are setting our sights on achieving a billion-dollar revenue target within the next 5 to 6 years.” The company aims to enhance its growth trajectory through strategic acquisitions.
Recent Investments
Recently, Zaggle made significant investments, amounting to approximately Rs 48 crore in acquiring stakes in two firms. This included:
- A 98.32% controlling stake in Span Across IT Solutions (TaxSpanner) for Rs 32.07 crore
- A 26% stake in Mobileware Technologies, for an investment of Rs 15.60 crore
Funding and Financial Performance
This week, Zaggle raised Rs 595 crore from various investors including Bank of India ELSS Tax Saver, Societe Generale – ODI ICICI Prudential Technology Fund, and Nuvama Enhanced Dynamic Growth Equity (Edge) Fund through a qualified institutional placement. A board committee sanctioned the allocation of 1.13 crore equity shares at Rs 523.20 per share to eligible qualified institutional buyers earlier this week.
In terms of financial performance, Zaggle reported a notable three-fold increase in its consolidated net profit, reaching Rs 20.3 crore for the July-September quarter. Additionally, revenue from operations for the September quarter was Rs 302.5 crore, reflecting a significant rise of 64.22% compared to the same period last year.