Merger and Acquisition

Veefin Acquires Singapore’s GenAI Startup Walnut in Fourth Deal of the Year

• ByStartupStory     |    November 6, 2024

Digital supply chain finance and lending platform Veefin has acquired Singapore-based GenAI startup Walnut in an all-cash transaction, marking its first international acquisition and fourth deal this year. Walnut, known for its advanced technology solutions to streamline data management for banks and financial institutions, will continue to operate independently post-acquisition.

The acquisition expands Veefin’s footprint in the GenAI domain as the company purchases a 50% stake in Walnut, a startup focused on transforming vast volumes of unstructured data into actionable insights, aiding financial decision-making processes. Walnut’s flagship product, Vegaspread, is designed to simplify complex financial data by extracting key insights from extensive reports, such as Annual Financial Statements (AFS) and Notes to Accounts, in a matter of minutes.

Raja Debnath, Chairman & Co-Founder of Veefin Group of Companies, emphasized the strategic importance of GenAI in their operations, stating, “GenAI is a must-have capability for the group. Walnut thus fits in very well into the Veefin ecosystem.”

Veefin’s clientele of over 500 global banks, financial institutions, and corporations now joins Walnut’s own impressive client list, which includes DBS, Bank of Singapore, Amret, and RCBC. The acquisition is expected to bolster Veefin’s capabilities in credit decisioning and working capital management with advanced, tech-driven solutions.

Commenting on the partnership, Walnut’s Co-Founder & CEO Bala Iyer expressed enthusiasm for the merger, saying, “Veefin Group is a formidable force in the SaaS ecosystem and one of the most sought-after platforms for banking technology infrastructure solutions. Our product fits perfectly well into their vast ecosystem. As we set sights on expanding globally as well as in India, our ambition is to become the go-to GenAI tool for fast and intelligent credit decisioning.”

This acquisition comes amid a global surge in demand for GenAI capabilities. India’s GenAI market, currently valued at approximately $1.1 billion, is projected to grow at a compound annual growth rate of 48%, reaching $17 billion by 2030. Veefin is positioning itself to capitalize on this trend, following recent acquisitions in the domestic market: GST compliance firm Regime Tax Solutions in June, Nityo Infotech’s India arm in August, and loan origination platform EpikIndifi in September.

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