Mintoak adds CBDC and bill payments capabilities with Digiledge purchase  

PayPal backed Indian fintech Mintoak has acquired Digiledge in a deal valued at nearly $3.5m, marking its first deal in the country’s central bank digital currency (CBDC) space, Reuters reported.  

Digiledge is known for its specialisation in CBDC and bill payments services, as well as digital commerce.  

According to The Hindu BusinessLine, it collaborates with multiple banks, including Federal Bank, Karnataka Bank, Canara Bank, and Indian Bank.  

The acquisition is said to enhance the CBDC-related payment solutions offered by its partner banks, which include HDFC Bank, Axis Bank, and State Bank of India (SBI).  

Mintoak CEO Raman Khanduja said: “By adding Digiledge’s bill payments and CBDC capabilities, we are making it easier for merchant acquirers to grow and help more small and medium enterprises access digital tools and financial services,” reported Reuters.  

Khanduja told The Hindu BusinessLine : “Payments is the most engaging activity for a SME, because it is crucial to their existence. As long as they get payments, their business survives,” by adding Digiledge was a “natural fit” to meet their bill payments fulfilments.  

The RBI initiated a pilot for the e-rupee, a digital alternative to physical currency, in December 2022.  

Mintoak’s Software as a Service (SaaS) platform is anchored by a merchant app that banks can white label.  

This app enables merchants to accept payments and access a suite of financial services within a single application.  

It currently powers the merchant apps for HDFC Bank, Axis Bank, SBI, and YES Bank. 

In 2023, Mintoak secured $20m in a Series A funding, round which was led by PayPal Ventures and saw participation from British International Investment, as well as existing investors such as HDFC Bank and Pravega Ventures. 

Previously, in 2022, HDFC Bank had acquired a minority stake in Mintoak for $4.1m, which equated to a 7.75 percent stake in the company.  

Additionally, in October last year, Mintoak partnered with Axis Bank to enhance financial inclusion and adopt digital payments.