Slice Merges with North East Small Bank , Gets CCI Approval

The Indian fintech landscape has witnessed a significant development with the news of Bengaluru-based fintech major Slice receiving approval from the Competition Commission of India (CCI) to merge with the North East Small Finance Bank (NESFB). This strategic alliance, backed by investment powerhouses like Tiger Global and Insight Partners, signifies a pivotal moment in the convergence of innovative financial technology with efforts to expand financial inclusion across the country.

RBI’s Nod Sets Stage for Transformative Partnership

The CCI’s approval comes after the Reserve Bank of India (RBI) granted a no-objection certificate (NOC) for the merger in October 2023. This crucial green light from the banking regulator paved the way for this groundbreaking collaboration between a leading fintech player and a well-established financial institution.

Merger Encompasses Slice Subsidiaries and NESFB Microfinance Arm

The CCI’s nod extends beyond a simple merger between Slice and NESFB. The approval encompasses the parent company of Slice, Garagepreneurs Internet Private Limited, along with its subsidiaries – Quadrillion Finance Private Limited (QFPL) and Intergalactory Foundry Private Limited (IFPL). Additionally, the merger incorporates RGVN (North-East) Microfinance Limited, a wholly-owned subsidiary of NESFB. This comprehensive approach ensures a smooth integration of all entities involved.

Boosting Financial Inclusion in the North Eastern Region

This merger presents a strategic opportunity for Slice to leverage NESFB’s extensive branch network, encompassing 208 locations spread across seven Northeastern states and West Bengal. This expanded reach will empower Slice to offer its credit and payment services, including loans and co-branded credit cards, to a significantly wider audience beyond major Indian cities. This strategic move has the potential to financially empower individuals and businesses across the North Eastern region, fostering economic growth and development.

Slice’s Trajectory: Innovation and Growth

Founded in 2016, Slice has carved a niche for itself as a prominent player in India’s dynamic fintech space. The company boasts a comprehensive suite of financial services and online platforms, facilitating access to credit facilities, prepaid cards, electronic vouchers, and software products that streamline business transactions across various industries. Demonstrating its commitment to innovation, Slice recently introduced a UPI-based prepaid account and secured final authorization from the RBI for its Prepaid Payment Instrument (PPI) license. This focus on cutting-edge solutions positions Slice well for the future.

A New Chapter for Fintech and Financial Access

The merger between Slice and NESFB signifies a new chapter in India’s financial services sector. By combining Slice’s innovative fintech solutions with NESFB’s established presence in the North East, this collaboration has the potential to be a game-changer. It holds the promise of driving financial inclusion, empowering a broader segment of the Indian population, and fostering economic growth across the nation, particularly in the North Eastern region. This strategic alliance presents a compelling case study for future collaborations between established financial institutions and agile fintech players.

Recent Blog : Sidbi Secures $24.5M for Avaana Climate Fund