Australian fintech company Findi has completed the US$19 million (AU$30 million) acquisition of Bankit Services, a B2B fintech firm, through its Indian subsidiary, Transaction Solutions International.

The deal boosts Findi’s reach to over 180,000 merchants by integrating Bankit’s 129,000 merchant partners and expanding digital and ATM services.

Bankit’s network covers more than 12,000 pin codes, helping Findi strengthen its presence in India’s digital financial services market.

The expansion is expected to improve financial inclusion across India by offering more services to underserved areas.

🔗 Source: Findi

🧠 Food for thought

1️⃣ Acquisition follows broader consolidation trend in Indian financial sector

Findi’s AU$30 million acquisition of BANKIT represents a continuation of strategic consolidation in India’s financial services landscape, mirroring similar moves by major players.

This follows patterns like PayU’s USD 70 million acquisition of digital payments company Wibmo in 2019, which aimed to create a robust digital payment ecosystem 1.

The transaction also aligns with high-value fintech acquisitions seen in 2018, such as Ebix’s USD 123 million purchase of Itzcash, which was the highest-valued fintech deal that year 2.

Findi’s approach resembles other strategic acquisitions where buyers sought to quickly expand service capabilities and market reach, as seen when Capital Float acquired Walnut to gain access to 7 million app downloads and enhance its digital lending capabilities 2.

These consolidation moves enable companies to rapidly scale in India’s competitive fintech market, which is projected to be worth $1 trillion by 2030 3.

2️⃣ Merchant networks crucial for financial inclusion in underserved regions

Findi’s acquisition creates a combined network of 180,000+ merchants across 12,000+ pin codes, positioning it to address a critical challenge in India’s financial inclusion journey.

Despite significant progress in account ownership, with 76% of global adults having financial accounts by 2021, substantial implementation gaps remain, particularly in activating dormant accounts in rural and underserved areas 4.

The strategy of turning merchants into “hyperlocal financial hubs” directly addresses findings from Women’s World Banking that many accounts remain inactive despite increased access, highlighting the need for better engagement strategies that bring financial services closer to users 5.