Valuing a Diversified NBFC with Multiple Growth Engines Valuation
Background
This is a Haryana based financial services company operating as a Non-Banking Financial Company (NBFC). Unlike traditional lenders, it has built a diversified portfolio of verticals. These include its core NBFC lending business, a Collections as a Service (CaaS) offering, a SaaS platform tailored for financial services, and an investment platform. Together, these verticals give the company a unique position in the market, combining balance sheet lending with technology-led solutions and investor-facing services.
The Challenge
Valuing a diversified NBFC is not straightforward. On one hand, investors and stakeholders want to see the strength of the group as an integrated platform. On the other, each vertical has its own growth drivers and potential. If assessed purely at a group level, the standalone promise of verticals like SaaS and CaaS might be overlooked. If valued separately, the synergies across the business could be lost. The firm needed a valuation approach that struck the right balance. The exercise was also critical for upcoming fundraising and for shaping long-term positioning in a competitive sector.
Mantraa’s Role
Mantraa designed and executed a comprehensive valuation exercise.
- The core NBFC business was analysed with conventional lending metrics, factoring in asset quality, risk models, and market comparables.
- The SaaS and CaaS verticals were assessed with a technology-driven lens, focusing on scalability, recurring revenues, and adoption trends in the financial services ecosystem.
- The investment platform was valued based on its market access, pipeline, and potential to generate consistent investor interest.
- Finally, the analysis was consolidated at the group level, with adjustments made to reflect synergies between verticals and the overall strategic moat.
The Impact
The valuation arrived at approximately ₹2,000 crores. More importantly, the promoters and investors now had a clear picture of both group-level value and vertical-specific strengths. This gave the company a strong base for fundraising discussions, while also shaping how each business line could be positioned strategically in the years ahead.
Key Takeaway
In complex businesses with multiple verticals, a valuation that captures both the sum and the parts is essential. For the firm, this approach ensured that its story was not reduced to just a lending NBFC but expanded to include its technology and investment platforms as core value drivers.
Looking Ahead
The valuation exercise created clarity not only for immediate fundraising but also for long-term strategic planning. It can now position itself as a multi-engine NBFC platform that brings together lending, collections, SaaS, and investments under one roof.
Need clarity on the true worth of your diversified business?
Mantraa helps promoters and investor’s structure valuations that capture both group synergies and vertical-specific potential.
