Fintech Firm Perfios Acquires Open Finance Platform Fego.ai By CIOTechOutlook Team

Fintech Firm Perfios Acquires Open Finance Platform Fego.ai

CIOTechOutlook Team | Thursday, 21 September 2023, 03:21 IST

Bengaluru-based fintech firm Perfios has purchased Chennai-based open finance platform Fego.ai. The conversations began recently at the Global Fintech Fest 2023 in Mumbai. The transaction was completed this week. While the value of the deal is not yet public, a second individual familiar with the event described it as a "acqui-hire." Fego's 30-person team will join Perfios as part of the agreement. Fego co-founder S. Kumar Srivatsan will lead the product and business unit, while S. Kumar Srikanthan, the other co-founder, will be part of the strategy team.

Previously, Fego had began acquisition talks with M2P Fintech, but the deal fell through at the last minute for reasons best known to the two companies, according to the individual. “With limited runway and after M2P pulled out, this is not really a great transaction."

Established in 2020, Fego offers an open-finance product stack to developers, with its application programming interface (APIs) enabling companies to connect users’ financial accounts, enrich customer experience and understand financial behaviour of its users for use-cases across lending, know-your-customer, collections and wealth, as per livemint.

In December 2021, Fego raised $1.5 million in seed capital from 3one4 Capital, Saison Capital, First Cheque, Eximius Ventures, Speciale Invest and some angel investors like Cred founder Kunal Shah, former BharatPe CEO Suhail Sameer, BharatPe co-founder Shashvat Nakrani, Groww CEO Lalit Keshre, M2P Fintech founders Madhusudhanan R. and Prabhu Rangarajan, and Koo co-founder Aprameya Radhakrishna, as per livemint.

Perfios, a company that provides financial and data analysis software and tools as well as lending solutions for small and medium-sized enterprises, recently raised a $229 million Series D round headed by Kedaara Capital. It intends to grow its footprint in both North America and Europe.