PB Fintech — parent of online insurance and credit comparison platforms Policybazaar and Paisabazaar — will acquire Gurugram-based loan marketplace MyLoanCare for ₹40.41 crore.

It will initially acquire 24.93 per cent equity stake in MyLoanCare Ventures and in the second stage, increase its shareholding to about 70.1 per cent. The acquisition (in two stages) is expected to be completed in six months.

MyLoanCare was established in 2013 and this marketplace allows customers to compare various loan products and interest rates. This business model is similar to PB Fintech’s Paisabazaar platform, which has over 50 per cent market share in credit marketplace space.

Post investment, MyLoanCare would be an associate company of PB Fintech and also a related party.

Also read: PB Fintech arm invests ₹10.8 crore more in Visit Health, holds minority stake

In another decision, the Board of PB Fintech on Monday gave its approval for setting up a wholly-owned subsidiary to undertake the business of an Account Aggregator (AA). “The incorporation of an Account Aggregator will leverage the facility without external dependency on other Account Aggregators for information gathering, cost saving/revenue hosting and offering of seamless solutions,” PB Fintech said in a regulatory filing. PB Fintech promoted AA has to be licenced by the Reserve Bank of India.

Put simply, Account Aggregator is a technology service provider that shares a customer’s information with institutions or any other person as per the instruction of the customer (consent based infrastructure). The financial information of the customer cannot be used for any other purpose by the Account Aggregator.

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