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Jio Financial Services Takes Complete Control Of Jio Payments Bank
- Jio Financial Services (JFS) has acquired Jio Payments Bank Ltd (JPBL) for INR 104.5 Cr, making it a wholly-owned subsidiary.
- JPBL saw a tripled growth in customer base to 2.31 Mn and deposits amounting to INR 295 Cr.
- The bank offers various products like CASA variants, debit cards, wallets, money transfer services, and Aadhaar-enabled payments.
- In Q4 FY25, JPBL expanded its network to over 14,000 business correspondents and processed 4.08 Mn UPI transactions worth INR 318.20 Cr.
- JFS holds an 82.17% stake in JPBL after acquiring additional shares from SBI for INR 68 Cr in August 2024.
- JFS, a fintech arm of Reliance Industries Ltd (RIL), provides lending, payments, and insurance solutions.
- JPBL was set up in 2016 as a joint venture between RIL and SBI and officially started operations in April 2018 as India's sixth payments bank.
- RIL demerged JFS into a separate entity in 2023, inheriting RIL's stake in JPBL.
- Jio BlackRock Asset Management and Jio BlackRock Investment Advisors recently received regulatory approvals to commence operations.
- Overall, the acquisition solidifies JFS's control over JPBL and enhances its presence in the fintech ecosystem.
- JFS continues to diversify its financial services offerings through various entities like Jio Finance Ltd and Jio Insurance Broking Ltd.
- The acquisition signifies JFS's strategic growth and positioning within the financial services sector.
- The integration of JPBL under JFS's umbrella strengthens its position in the digital banking and payments space.
- The company is poised to leverage the increased stake in JPBL to expand its reach and enhance its suite of financial products and services.
- JFS's acquisition of JPBL underscores its commitment to becoming a key player in India's evolving fintech landscape.
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