Vivriti Asset Management allocates INR 500 million of debt to SaaS Fintech platform Zaggle

2026-07-14 05:00:14 Business

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Mumbai, March 09, 2023: Vivriti Asset Management ("VAM"), a fixed-income Alternative Investment Fund (AIF) platform, invested ₹ 500 million in the rated maiden debenture issuance by Zaggle - a leading player in spend management, with a differentiated value proposition and diversified user base (Source: Frost & Sullivan Report).

The investment made through purchase of debentures via VAM's performing credit fund, will amortise over the next 40 months, paying interest quarterly.

VAM is a sector-agnostic performing credit focussed asset manager that provides debt capital to mid-sized operating companies with proven business models and operating cashflows but lacks access to mainstream debt markets. It provides tailored debt in the range of ₹500-1000 million for a period of 2 to 5 years typically, for end-uses across capacity expansion, asset acquisition, product development, working capital, and refinancing debt. VAM has raised commitments of over INR 22,000 million across seven funds and aims to hit INR 70,000 million of assets under management (AUM) by March 2025.

The proceeds from the investment will be utilised in growing Zaggle's products such as the newly launched accounts payable platform by Zaggle: "Zoyer". Zoyer is an integrated data driven, SaaS based business spend management platform with embedded automated finance capabilities in core invoice to pay workflows. Along with utilisation towards the new products, the proceeds of the [debentures] shall also be used for working capital and business growth.

Mr. Mohamed Irfan, Fund Manager at VAM, said: "In successful tech companies, there is usually a small window between product development and its J-curve scale up where debt usually provides a good risk/reward opportunity. VAM values business profitability, strong management, cash generation ability and sector tailwinds while investing - and Zaggle scores well on these. We are glad to partner in the firm's growth through our investment in the company's maiden, rated bond issuance."

With a diversified product portfolio of SaaS based fintech products, the company catered to 1,896 customers with 1,982,405 users on its platform, as of June 30, 2022. Zaggle has tied up with banks such as NSDL Payments Bank, Yes Bank, and IndusInd Bank for issuance of co-branded prepaid cards.

Mr. Avinash Godkhindi, MD & CEO at Zaggle said, "Over the last decade, Zaggle has emerged as a leading player in spend management, with a differentiated value proposition and diversified user base according to the Frost & Sullivan Report, operating in the business-to-business-to-customer segment (B2B2C) with corporate customers across industries such as BFSI, technology, healthcare, manufacturing, FMCG, infrastructure and automobile. Zaggle has been working towards digitizing business spends and enhancing organisation's efficiency as a whole. We thank Vivriti Asset Management in believing in our vision and investing in our maiden rated bond issuance. Our Company has allotted 500 secured, unlisted, rated non-convertible debentures of face value of ₹1,000,000 each, aggregating to ₹500 million to Vivriti Asset Management on November 30, 2022, in accordance with terms specified under the private placement offer cum application letter."

About Zaggle Prepaid Ocean Services Limited (Zaggle):

Zaggle is a leading player in spend management, with a differentiated value proposition and diversified user base (Source: Frost & Sullivan Report). Incorporated in 2011, the company operates in the business-to-business-to-customer segment and is amongst a small number of uniquely positioned players with a diversified offering of financial technology products and services. It has one of the largest number of issued prepaid cards in India in partnership with certain of its banking partners (12.7% of the country's total prepaid transaction value as of March 31, 2022). Zaggle collaborated with three banking partners; i.e., IndusInd Bank Limited, Yes Bank Limited and NSDL Payments Bank Limited; and has issued more than 45 million co-branded prepaid cards since inception of our business. It has a diversified portfolio of software as a service, including tax and payroll software, and a wide touchpoint reach. Zaggle is sector-agnostic, and its network of corporate customers ("Customers") covers the banking and finance, technology, healthcare, manufacturing, FMCG, infrastructure and automobile industries, among others, where it has relationships with brands such as TATA Steel, Persistent Systems, Vitech, Inox, Pitney Bowes, Wockhardt, MAZDA, PCBL (RP ? Sanjiv Goenka Group), Hiranandani group, Cotiviti and Greenply Industries. Zaggle partnered with and has entered into arrangements with DBS Bank, Fibe (formerly, EarlySalary) and Tata Securities to offer their products and value-added services ("VAS"), including insurance, investment and tax planning, to its Users on their platform.

About Vivriti Asset Management

Vivriti Asset Management (VAM) is a leading Indian asset manager, focusing on mid-market performing credit. VAM manages mid-to-long-term alternative investment funds (AIFs) which count marquee global and domestic investors. Launched in early 2020, VAM has raised commitments of over Rs 2,000 crores across 7 funds, and aims to hit $1 billion of AUM by Mar'25.