Fintech platform Scripbox makes strategic investments in Pune-based asset managers
Scripbox declined to comment on the size of the deal.
This is expected to strengthen its geographic presence, expand its customer base and offer digital solutions to Wealth Managers’ clientele.
Over the past six months, Scripbox has actively focused on inorganic partnerships to expand its client base, strengthen its team, and build its network of financial advisors.
It has entered into five-six partnerships with offline wealth advisory firms in the last six months, founder and CEO Atul Shinghal told ET.
Scripbox has completed 10 acquisitions and partnerships with independent wealth advisory firms over the past two years, including the most recent partnership with Wealth Managers.
Discover the stories that interest you
“In this industry, brand and trust are important. The clients of independent financial advisors who partner with us get an upgraded experience in terms of portfolio creation, while Scripbox gets access to a mature client base, Shinghal said.
“We are focused on clients who are in the Rs 50 lakh to Rs 5 crore net worth range that offline wealth advisors handle today. We are making sure that we are prudent in terms of capital, in these acquisitions and partnerships,” he added.
By January, Scripbox had raised $21 million in debt and equity funding, led by
Partners.
“We are a cash-flow positive business, so the capital raised is largely to do these partnerships and acquisitions,” Shinghal said.
In December 2020, Scripbox had acquired Securities and Exchange Board of India (SEBI)-registered investment adviser Mitraz Financial.
Founded in 2012, Scripbox follows a hybrid model of digital as well as financial planners to help users manage their finances.
Since its inception, the company has grown its assets under management to over Rs 12,000 crore and has 100,000 customers.
It has executed over 8 million transactions on its platform.
“We have always been impressed by the technology initiatives and process-driven advancements made by Scripbox. Joining them gives us an opportunity to build long-term investments, based on a rational and responsible approach, for a much larger cross-section of investors,” said Bharat Phatak, founder and director, Wealth Managers.
Scripbox plans to enter two to three more partnerships with wealth advisory firms this year and also wants to make insurance advice live for clients on its platform, Shinghal added.
