Finix Partners, the venture capital firm led by former BharatPe co-founder Bhavik Koladiya, has reportedly acquired fintech startup Slash. This acquisition has led to the complete exit of all stakeholders, including founders and investors, from Slash. The IP, trademark, and other assets of the startup have been retained by Finix Partners, according to Entrackr sources.
Finix Partners Restructuring and Revamp of Slash Underway
Entrackr’s report indicates that the entire workforce of Slash either departed or was let go in recent weeks. Bhavik Koladiya, CEO of Finix Partners, revealed, “…We plan to run it independently as a part of Finix Partners portfolio companies. The Slash App is being revamped and will be relaunched soon for the new users.”
Background and Purpose of Slash
Slash, owned by Greenbacks Technologies Private Limited and founded by Laman Ansari and Rahul Mahajan, offered payment solutions to social ecommerce merchants. It provided a platform-agnostic and integrated approach for small brands and online creators to monetize their products, skills, and services. The startup had secured backing from Elevation Capital, Tanmay Bhat, and others.
Finix Partners Efforts for M&A and Funding Challenges
Reports suggest that Slash had been exploring merger and acquisition (M&A) opportunities for about six months. The startup engaged in discussions with several large fintech companies. Facing a cash crunch amid the funding challenges prevalent in the industry, Slash was unable to secure its series A funding round. This ultimately led to the acquisition by the venture capital.
Fintech Sector’s M&A Trends and Funding Landscape
The fintech sector experienced a significant number of acquisitions during the first half of 2023, with 13 M&As recorded between January and June. Despite the tough funding climate, the fintech sector managed to secure the highest funding amount of $2.1 billion in the first half, albeit down by 37% compared to the previous year. This highlights the resilience and adaptability of the fintech industry in navigating challenging financial circumstances.
