In a significant development marking the strengthening ties between Indian and Japanese financial institutions, Credit Saison (CS) India announced on Tuesday that Japan’s Mizuho Bank has acquired a 15% stake in the digital non-banking finance company for Rs 1,200 crore.
This landmark investment, the first of its kind for Credit Saison India from an external investor, underscores the growing confidence in India’s burgeoning fintech sector and the strategic importance of partnerships between leading financial entities from both countries.
The infusion of funds from Mizuho Bank is poised to propel Credit Saison India further on its trajectory towards becoming a well-diversified and resilient lending franchise, with a clear focus on driving growth and enhancing profitability. In a statement, Credit Saison India emphasized that the strategic investment will fuel its expansion initiatives and bolster its position in the Indian financial market.
Credit Saison India, which received its Non-Banking Finance Company (NBFC) license from the Reserve Bank of India (RBI) in September 2019, initially concentrated its operations on wholesale lending and forged tech-integrated partnerships with other NBFCs and fintech firms. Subsequently, it diversified into retail lending through strategic alliances.
Presently, Credit Saison India boasts an impressive track record, with 1.2 million active loans amounting to over Rs 10,000 crore, according to Presha Paragash, the Chief Executive Officer of Credit Saison India.
The involvement of Mizuho Bank, the retail and corporate banking arm of Mizuho Financial Group, one of Japan’s largest financial conglomerates, underscores the confidence of international investors in the growth potential of India’s fintech landscape. Meanwhile, Credit Saison India, as the domestic arm of Saison International, continues to strengthen its foothold in the Indian financial ecosystem.
The partnership between Mizuho Bank and Credit Saison India is anticipated to facilitate knowledge exchange, technological collaboration, and further exploration of innovative financial solutions tailored to the evolving needs of Indian consumers and businesses.
As India’s fintech sector continues to attract significant investments and witness rapid expansion, collaborations such as the one between Mizuho Bank and Credit Saison India are poised to play a pivotal role in shaping the future of the country’s financial landscape, driving inclusive growth and fostering greater financial inclusion.
