CCI approves fintech unicorn slice's merger with North East SFB

The Competition Commission of India (CCI) has approved the merger between the fintech unicorn slice and North East Small Finance Bank (NESFB). 

The approval paves the way for a comprehensive integration of slice's parent company, Garagepreneurs Internet Private Limited (GIPL), its NBFC arm Quadrillion Finance, and subsidiary Intergalactory Foundry Private Limited (IFPL) with NESFB and its wholly-owned subsidiary RGVN (North-East) Microfinance Limited.

Strategic expansion

The merger, announced in October 2023, is seen as Slice's strategic move to broaden its service offerings, enhance its underwriting capabilities, and improve the overall customer experience.

The fintech firm, known for its innovative payment and credit solutions, aims to leverage this merger to navigate regulatory challenges and expand its market presence.

Financial dynamics

The merger comes at a time when slice has been navigating through a period of significant financial growth and operational adjustments. Despite a 60% year-on-year increase in net losses in FY23, slice witnessed a substantial 199% surge in operating revenue. 

Strengthening the leadership team

In preparation for the merger, slice has been actively strengthening its leadership and operational framework. The appointment of Satish Kumar Kalra, a former Andhra Bank executive, as the interim managing director (MD) and CEO of NESFB, along with Rs 75 crore debt round from Stride Ventures.

With CCI's approval, slice and NESFB are now set to finalize the merger process, pending the filing of the composite scheme of amalgamation before the National Company Law Tribunal (NCLT) and the completion of related transactions.