The acquisition brings together two complementary businesses in the secured lending space. DSP Finance brings its balance sheet, risk management and institutional infrastructure, while Volt Money, an early player in the digital LAMF market, brings a seamless digital customer journey through cutting edge technology and established distribution network. Its platform enables customers to borrow against their mutual fund holdings quickly and seamlessly, with funds disbursed within five minutes, subject to applicable processes and approvals. The combination strengthens DSP Finance’s ability to further scale digital lending against financial assets and serve customers across the mutual fund and wealth management ecosystem across the country.
DSP Finance has built a significant presence in digital lending in a short period. Since receiving its NBFC registration in July 2024, it has onboarded over 1.8 lakh retail customers and built a loan book of approximately ₹4,000 crore.
LAMF enables investors to access liquidity against their mutual fund holdings without redeeming their investments. This allows investors to quickly meet their liquidity needs while remaining invested in their long-term assets. As the share of mutual fund and other financial assets in Indian household wealth continues to grow, LAMF would become a convenient and affordable source of credit for customers across income segments.
Hemendra Kothari, Chairman, DSP Finance, said: "DSP has been part of the evolution of India's financial markets for over 160 years, and our approach has always been to build businesses for the long term, while adapting to the changing needs of our clients. The acquisition of Volt Money is an important step in building our capabilities in technology-led secured lending. By bringing together Volt Money's digital capabilities with DSP Finance's institutional strength and lending expertise, we see an opportunity to build a scaled and responsible lending platform around financial assets."
Jayesh Mehta, Vice Chairman & CEO, DSP Finance said, "The acquisition of Volt Money strengthens our digital lending platform and brings together complementary capabilities across technology, customer experience, lending and risk management. Volt Money has played an important role in building the digital LAMF category, while DSP Finance has built a strong foundation in secured lending. Together, we have the opportunity to make borrowing against financial assets simpler, more accessible and efficient with the continued focus on responsible lending and customer needs."
Lalit Bihani, CEO and Co-founder, Volt Money said, "Volt Money was built to make borrowing against mutual funds simpler and more accessible. Becoming part of DSP Finance creates the opportunity to combine our technology and customer experience capabilities with the scale, balance sheet and institutional strengths of an established financial services group. We look forward to continuing to build and expand the digital ecosystem together to create more solutions for customers across the Country."
About DSP Finance
DSP Finance is the NBFC arm of DSP Group, one of India’s oldest financial services institutions, with a legacy spanning over 160 years. The DSP Group traces its origins to 1860s, when it began its journey as one of the Founders of Bombay Stock Exchange.
DSP Finance is engaged in the business of retail and structured lending activities, with its retail lending business primarily focusing on collateral-backed loans against financial assets, including mutual funds and securities, through a predominantly digital lending platform, and undertaking structured lending transactions for mid-sized and large corporates, including financing for business expansion and strategic acquisitions.
With technology at the core of its lending platform, DSP Finance is building a broader secured lending business around financial assets, combining the trust and experience of a longstanding financial institution with the speed and convenience of digital technology.
Visit us on dspfin.com for more.
About Volt Money
Founded in 2022, Volt Money has been one of the market leaders of digital Loans Against Mutual Funds (LAMF), enabling customers to unlock liquidity from mutual fund holdings, helping them access affordable credit without disrupting their long-term wealth creation. Founded by IIT Delhi alumni Ankit Agarwal, Bharat Lamba and Lalit Bihani, Volt Money's mission has been to make borrowing against financial assets simple, transparent, efficient and accessible.
Visit us on voltmoney.in for more.
No comments:
Post a Comment