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MobiKwik Wins RBI Nod For NBFC As Shares Rally Again

NBFC operations begin only after RBI issues a registration certificate.

Overview

  • MobiKwik, which disclosed RBI approval for its non-bank lender licence on Monday, will house lending in a new wholly owned unit called MobiKwik Financial Services Private Limited.
  • Following Monday’s jump, the stock climbed again on Tuesday, and a Reuters-cited block deal saw Peak XV sell about 7.7% of the company, with buyers including Florintree, Viridian, Dymon Asia and Karma Capital.
  • The licence lets MobiKwik bring credit in-house to roll out secured and unsecured loans faster, improve lending margins and tap co-lending; an NBFC is an RBI-regulated lender that is not a bank and can earn interest income directly.
  • Lending under the new unit will start only after RBI grants a Certificate of Registration and set conditions are met, and the company has named Anis Pathan as chief risk officer to strengthen underwriting and collections before launch.
  • Management says it will lean on scale—about 186.6 million users and 4.79 million merchants—to cross-sell credit, which could widen access to small loans in India’s tier 2 and tier 3 cities.