PayU buys 43.5% stake in payment technology firm Mindgate Solutions for undisclosed sum

PayU, the payment and fintech arm of Amsterdam-based investment firm Prosus, has acquired a 43.5% stake in Mumbai-based Mindgate Solutions for an undisclosed sum.

Founders of Mindgate, which offers real-time payment technology and infrastructure, will retain majority ownership of the company, PayU said in a statement.

“We will enhance payment infrastructure to support seamless financial transactions, delivering exceptional value to banks, merchants, and consumers worldwide. This investment also aligns with our commitment to strengthening the Indian fintech ecosystem by backing promising founders and helping them build world-class platforms,” Anirban Mukherjee, chief executive officer of PayU, said.

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Founded in 2008, Mindgate provides end-to-end real-time payment infrastructure and expertise for several leading banks in India, processing over 8 billion transactions a month. The company also has a growing presence in Middle East and North Africa, Asean, Europe, and the US, which will complement PayU’s global payment technology business, Wibmo, accelerating the adoption of real-time payment technologies worldwide, PayU said in the statement.

In FY24, Mindgate Solutions reported ₹256.6 crore in revenue, up from ₹191.3 crore the previous year, with net profit rising to ₹23.2 crore from ₹6.5 crore, per Tracxn.

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In H1FY25, PayU India’s core payments business generated $237 million ( ₹1,974 crore), marking a 12% growth, while its credit arm, PayU Finance, saw a 91% revenue surge to $82 million ( ₹683 crore).

“This partnership marks a significant milestone in Mindgate’s global expansion, combining our expertise in real-time digital payments with PayU’s extensive market reach,” said George Sam, co-founder and business head, Mindgate Solutions.

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“We are excited to collaborate with PayU, whose global expertise and commitment to innovation align with our vision. This partnership validates our work and sets the stage for an exciting future,” Guhan Muthuswamy, co-founder and software architect, Mindgate Solutions, said.