Flipkart’s Sachin Bansal buys NBFC CRIDS in Rs 739 crore deal; to take over as CEO

By: |
September 26, 2019 1:17 AM

Sachin Bansal has acquired Chaitanya Rural Intermediation Development Services (CRIDS), a non-banking finance company (NBFC) in a Rs 739-crore deal. Following the investment, Bansal will assume the role of CRIDS CEO.

Bansal, who co-founded Flipkart, sold his 5.5% stake in the e-commerce firm to Walmart last year for an estimated $800 million. Bansal, who co-founded Flipkart, sold his 5.5% stake in the e-commerce firm to Walmart last year for an estimated $800 million.

Sachin Bansal has acquired Chaitanya Rural Intermediation Development Services (CRIDS), a non-banking finance company (NBFC) in a Rs 739-crore deal. Following the investment, Bansal will assume the role of CRIDS CEO.

Co-founders Samit Shetty and Anand Rao will continue in their role as executive directors, adding to the growth of existing business segments. Bansal will provide additional support to create further impetus to business growth, he said in a statement.

Founded in 2012, CRIDS provides financial services to low- and middle-income families who lack access to formal banking through its wholly-owned subsidiary Chaitanya India Fin Credit. Currently operating in five states, the Bengaluru-based NBFC provides two-wheeler loans, housing, small business and education loans.

“This acquisition is our entry into financial services,” said Sachin Bansal. “Samit and Anand have built a great company that provides much-needed financial access to people who don’t have access to other formal finance. I look forward to working closely with Samit and Anand and building further on the solid work they have done.” There will be no ‘significant change in management’, according to the statement.

Bansal, who co-founded Flipkart, sold his 5.5% stake in the e-commerce firm to Walmart last year for an estimated $800 million. In December, Bansal had registered his holding company BAC Acquisitions for making investments and starting new businesses. Former investment banker Ankit Agarwal is also a director of the firm.

Earlier this year, Bansal pumped in Rs 650 crore in ride-hailing major Ola. He is also understood to have made debt and equity investments directly and through BAC in companies like Altico Capital, Indostar, scooter-rental start-ups Vogo and Bounce, and in electric-vehicle company Ather Energy.

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