Flipkart-Backed super.money Acquires BharatX for Growth

Flipkart-backed UPI platform super.money has acquired BharatX, a checkout financing platform, in an all-cash deal. The acquisition is expected to strengthen super.money’s position in India’s growing digital credit market, particularly in checkout financing. With this acquisition, super.money aims to leverage BharatX’s technology stack to enhance credit-on-UPI solutions. The deal also brings BharatX’s core team to super.money, with an evaluation planned after six months. The move comes as competition in the checkout financing segment has reduced, making it an opportune time for new product development.

Key Highlights

1. About the Acquisition

• super.money acquired BharatX in an all-cash deal.
• The acquisition focuses on BharatX’s tech stack to improve credit-on-UPI solutions.
• BharatX’s core team will work with super.money for six months, after which their role will be reviewed.
• The transaction amount and BharatX’s valuation remain undisclosed.

2. Impact on Checkout Financing & UPI

• super.money enters the checkout financing segment, enabling seamless UPI-based credit solutions.
• BharatX specializes in BNPL (Buy Now, Pay Later) and EMI solutions, which will now be integrated into super.money’s offerings.
• With tightening credit cycles and reduced competition, the acquisition positions super.money for expansion.
• super.money sees UPI as a key driver in making checkout financing smoother and more accessible.

3. super.money’s Growth in Fintech

• Launched in July 2024, super.money has quickly become India’s sixth-largest UPI platform (NPCI data).
• It was started by Flipkart after parting ways with PhonePe to focus on digital payments and financial services.
• The platform currently offers products like superUPI, superCard, and superFD.
• Future expansion plans include personal loans and unsecured credit products.

4. BharatX’s Contribution & Future Goals

• BharatX has been providing credit to thousands of Indian consumers without needing credit scores or documentation.
• The acquisition will allow BharatX’s solutions to scale further through super.money’s wider distribution network.
• BharatX founder Mehul Jindal stated that the goal is to reach more consumers and enhance product capabilities.

5. India’s Financial Inclusion & Market Potential

• According to RBI’s 2024 Financial Inclusion Index, nearly 70% of India’s population lacks access to traditional financial services.
• Only 27% of adults have access to formal credit, indicating a massive market opportunity for digital credit solutions.
• The checkout financing segment is set for growth, with UPI-based solutions expected to make credit more accessible and seamless.