Fintech firm MobiKwik is set to enter the securities broking market with the launch of its wholly owned subsidiary, MobiKwik Securities Broking Private Limited (MSBPL). The company has secured approval from the Ministry of Corporate Affairs, as per a recent filing with the National Stock Exchange (NSE).
With this expansion, MobiKwik aims to enhance its financial services portfolio by offering stock and commodity brokerage services. According to regulatory disclosures, MSBPL will engage in trading shares, stocks, securities, debt instruments, commodities, currencies, and derivatives. Additionally, the company plans to acquire memberships with domestic and international stock and commodity exchanges.
Investment and Market Competition
MobiKwik Securities Broking has been launched with an initial capital of Rs 1 lakh, with the parent company committing an additional Rs 2 crore in one or more funding tranches.
By stepping into the securities broking space, MobiKwik will compete with established industry leaders like Zerodha, Groww, and AngelOne. Currently, Groww dominates the sector with the highest number of active users, followed by Zerodha, AngelOne, Upstox, and ICICI Direct.
MobiKwik’s Growth and Financial Performance
MobiKwik has witnessed steady growth in its user base, which now stands at 172 million registered users and 5 million merchants. The company’s payment GMV (Gross Merchandise Value) surged to Rs 29,400 crore, doubling on a year-on-year basis.
In the third quarter of the current fiscal year, MobiKwik reported:
- Revenue: Rs 269 crore
- Losses: Rs 55.2 crore
As MobiKwik diversifies its financial services, its entry into the broking segment marks a strategic shift in competing with fintech platforms offering investment and wealth management solutions. Whether MobiKwik Securities Broking can carve out a niche in the crowded market remains to be seen.
