MobiKwik has completed the transfer of its entire digital lending business and associated employees to MobiKwik Distribution Services Private Limited (MDSPL), creating a dedicated subsidiary for its lending activities.
The transfer follows the required corporate approvals, including a shareholder-approved special resolution through postal ballot in July 2026. MobiKwik has also infused Rs 60.85 crore as equity into MDSPL.
The restructuring follows the Reserve Bank of India’s approval of the Group’s NBFC application in April 2026, which required the Lending Service Provider (LSP) business to be migrated to a wholly owned subsidiary before the Certificate of Registration could be issued.
Alongside the business transfer, MDSPL has appointed Manish Pathania as Chief Business Officer to lead the digital lending vertical. Pathania brings nearly two decades of experience across digital lending, business development, channel management and strategic planning. Before joining MobiKwik, he headed the digital lending business at Bajaj Markets and previously worked with GE Money and HDB Financial Services.
Pathania said the new structure provides a strong foundation for the next phase of the lending franchise, with a focus on responsible lending, disciplined risk management and differentiated credit products for consumers and merchants.
Bipin Preet Singh, Co-founder, MD and CEO, MobiKwik, said, “The completion of the digital lending business transfer is an important milestone in MobiKwik’s lending journey. We have built a strong lending franchise through partnerships with banks and NBFCs, while developing capabilities across the lending value chain.”
MobiKwik’s digital lending business has continued to expand, with Financial Services Gross Profit increasing 459 per cent year-on-year in Q1 FY27, supported by improved credit quality and recovery efforts. During the quarter, 32 per cent of disbursements were generated through the Distribution Model, while 68 per cent were generated through the FLDG Model.
The company said its lending business has significant room for expansion across its 9.5 crore engaged customers, while maintaining a focus on underwriting standards, credit risk and portfolio quality.
MobiKwik has built its lending capabilities over the past seven years through partnerships with banks and financial institutions, covering loan origination, underwriting, servicing, portfolio management and collections.
With MDSPL now serving as the dedicated lending subsidiary, MobiKwik expects to scale its digital lending operations further through AI-led initiatives and new lender partnerships. The company is targeting quarterly disbursals of more than Rs 1,000 crore in the upcoming quarters.
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