Veefin acquires Singapore-based GenAI startup Walnut

Veefin Group of Companies has acquired a 50% stake in Walnut, a Singapore-based GenAI firm, in an all-cash deal.

This marks Veefin Group's first international acquisition and the company’s fourth acquisition this year.

The acquisition will allow Veefin Group to utilise Walnut’s GenAI capabilities to help its corporate and banking clients convert large volumes of complex, unstructured data into accurate insights, according to a statement. It will also support Veefin’s development of tech solutions for working capital management, significantly benefitting its credit decision-making processes, added the statement.

Walnut will maintain its independent operations following the acquisition.

“We continue to grow the Veefin Group by bringing in more and more companies into the Veefin ecosystem to leverage the massive client base that the entire group now commands. To this effect, GenAI is a must-have capability for the group. Walnut thus fits in very well into the Veefin ecosystem,” said Raja Debnath, Chairman & Co-founder of the Veefin Group of Companies.  

Founded in 2020 by Bala Iyer and Lalit Kumar, Walnut utilises artificial intelligence, machine learning (ML), and natural language processing to deploy solutions across credit, risk, KYC, and capital market operations for the financial services sector. Its clientele includes DBS, Bank of Singapore, Amret, and RCBC. 

By using both in-house and offline ML models, the four-year-old startup has developed a GenAI solution to extract information from lengthy documents. Its flagship product, ‘Vegaspread,’ simplifies complex financial data into insights by extracting key information from various report formats, including annual financial reports and notes to accounts.

“Veefin Group is a formidable force in the SaaS ecosystem and one of the most sought-after platforms for banking technology infrastructure solutions. Our product fits perfectly well into their vast ecosystem," said Bala Iyer, Co-founder & CEO, Walnut. 

"As we set sights on expanding globally as well as in India, our ambition is to become the go-to GenAI tool for fast and intelligent credit decisioning. We couldn’t have found a better growth partner in this journey,” he added.

With over 500 clients across banking, financial institutions, and the corporate sector, Veefin Group of Companies offers solutions across end-to-end digital supply chain finance, digital identity verification, automated financial statement analysis, automated accounts receivable and accounts payable, as well as software consulting and services.

In September, Veefin acquired EpikIndifi, a banking-focused software solutions firm, in a cash and equity swap deal valued at Rs 125 crore. It also acquired Regime Tax Solutions, a GST compliance and automation platform, and Nityo Tech, an IT services and solutions company, this year.