Slice
Overview
Slice is a prominent fintech company based in Bengaluru, India, primarily focused on providing innovative credit and payment solutions tailored to Millennials and Gen Z. Established in 2016 by Rajan Bajaj, Slice has emerged as a significant player in the digital financial services industry. The company has raised substantial funding, amounting to approximately $390 million over several funding rounds, and is valued as a unicorn with a valuation of over $1.3 billion as of 2023.
Recent Developments
- October 2024: Slice raised INR 71.73 crore (approximately $8.6 million) from its founder and CEO, Rajan Bajaj, via the issuance of partly paid-up shares. This move followed a special resolution by the board to issue 22,000 equity shares as part of its ongoing capital strategy.
- September 2024: The company secured Rs 300 crore (around $36 million) via convertible debentures from several trusts and venture capital firms. This financing round was led by Taneja Family Trust and other prominent investors such as Blume Ventures.
- August 2024: The National Company Law Tribunal (NCLT) officially approved the merger between Slice and North East Small Finance Bank, marking Slice as the first fintech company to enter the small finance bank sector in India. This merger is expected to leverage Slice’s technological expertise with NESFB’s banking prowess to enhance financial service deliveries.
- February 2024: Slice announced the launch of its UPI-first account for all users, expanding beyond its initial credit-focused offerings. This move aims to attract a broader user base by providing a fast, secure, and user-friendly payment interface.
- October 2023: Slice received clearance from the Reserve Bank of India for its merger with North East Small Finance Bank, aimed at expanding the company's banking operations and improving financial inclusivity across northeastern India.
- July 2024: The company concluded a $30 million debt funding round from Neo Asset Management, part of a strategic plan to bolster its financial capabilities and expand its service offerings to new customer segments.
- April 2024: Slice’s board authorized the issuance of INR 300 crore in debentures, indicating the company's strategic move towards securing long-term capital support for expansion efforts.
Company Information
| Attribute | Information |
|---|---|
| Founding Date | January 2016 |
| Headquarters | Bengaluru, India |
| Founders | Rajan Bajaj |
| Revenue (FY23) | Rs 847 crore |
| Profits (FY23) | Rs 405 crore loss |
| Key Investors | Tiger Global, Insight Partners, Neo Asset Management |
| Industry | Fintech |
| Number of Employees | Approximately 1,263 |
| Valuation | Over $1.3 billion as of March 2023 |
Early History
Slice was founded in 2016 by Rajan Bajaj, initially under the name Slicepay. The company emerged as a solution to the challenges faced by young professionals in accessing credit. It started as a buy-now-pay-later (BNPL) platform, offering an innovative alternative to traditional credit offerings. Over the years, Slice evolved by launching its proprietary Slice card, which allowed users to split their payments into manageable instalments without incurring extra charges. This unique approach helped Slice carve a niche in the competitive fintech landscape and establish a strong customer base among India's youth.
Company Profile and Achievements
Slice operates as a fintech company focused on credit and payment solutions. It provides an app-based platform offering a range of services, including Slice cards and UPI payment solutions. Initially known for its credit line on prepaid cards, Slice has adapted its business model to comply with regulatory changes, emphasizing classic term loans and a robust UPI platform. Noteworthy achievements of Slice include:
- Achieving unicorn status with a valuation increase to $1.3 billion by 2022, supported by substantial investments from major venture capital firms like Tiger Global and Insight Partners.
- Launching innovative credit products that allow users to slice their bills into easy-to-manage payments.
- Expanding its customer base rapidly, especially among college students and young professionals, by offering an engaging and user-friendly digital platform.
- Successfully navigating regulatory challenges by transitioning to direct lending models in compliance with RBI guidelines.
Current Operations and Market Position
Slice is currently positioned as a leading fintech service provider in India, focused on enhancing financial accessibility and inclusivity. The company offers a suite of services through the Slice app, which includes payment solutions, credit services, and the newly launched UPI integration, designed to cater to the tech-savvy millennial population. Slice's strategic focus on combining user-friendly financial technology with innovative product offerings has solidified its market presence. The merger with North East Small Finance Bank is expected to further broaden its reach and enable Slice to offer comprehensive banking services across various regions.
Conclusion
Slice holds significant potential in reshaping financial service delivery for India's youth. With a strong focus on product innovation and user experience, Slice is well-positioned to capitalize on the growing demand for digital banking solutions. The company's strategic initiatives, such as expanding into UPI payments and merging with a finance bank, reflect its commitment to enhancing its service offerings. As Slice continues to adapt and grow in the fintech space, it is poised to play a pivotal role in advancing financial inclusion and reshaping the digital financial landscape in India.