Flipkart-backed fintech startup super.money has officially acquired BharatX, a Y Combinator-backed checkout financing platform, in an all-cash deal. This acquisition aims to enhance super.money’s financial services, especially in the Buy Now, Pay Later (BNPL) and credit-on-UPI segments. The deal, whose financial details remain undisclosed, marks a strategic move to improve credit accessibility for Indian consumers, particularly for direct-to-consumer (D2C) and e-commerce brands.
BharatX, founded in 2019, has built a strong reputation in the embedded finance sector. It has partnerships with over 200 brands and four banking institutions, making it a key player in the checkout financing industry. By integrating BharatX’s technology, super.money is expanding its financial inclusion initiatives, offering seamless credit options without traditional documentation or credit score requirements. The company, which launched in July 2024, has quickly become the sixth-largest third-party UPI payments provider. It facilitated around 125 million transactions in January 2025, growing at 24% month-on-month.
The acquisition is expected to strengthen super.money’s foothold in the digital lending space, enabling it to offer credit lines for high-value purchases, starting with consumer durables. The BharatX team will now collaborate with super.money to develop innovative credit products leveraging the Unified Payments Interface (UPI). CEO Prakash Sikaria has emphasized that this move aligns with super.money’s mission to provide accessible financial services to millions of Indians.
1. Understanding the Working Model of BharatX
1.1 BharatX’s Business Model and Services
BharatX operates in the embedded finance sector, offering checkout financing solutions to e-commerce and D2C brands. The platform enables customers to purchase products in installments at the time of checkout, similar to Buy Now, Pay Later (BNPL) schemes. By integrating its technology with online merchants, BharatX ensures that consumers can access credit seamlessly without extensive paperwork or prior credit history.
1.2 Revenue Model of BharatX
BharatX generates revenue through commission-based partnerships with merchants and financial institutions. The company collaborates with banks and NBFCs (Non-Banking Financial Companies) to facilitate financing and earns a percentage of the interest or service fee on each transaction. The firm also charges brands for integrating its checkout financing solutions, helping them increase conversion rates and customer retention.
1.3 Funding and Founders’ Background
BharatX was founded in 2019 in Bengaluru by Mehul Jindal and a team of fintech enthusiasts with deep expertise in credit underwriting and digital payments. Over the years, the startup has raised $4.74 million in funding from prominent investors, including Y Combinator, Multiply Ventures, Soma Capital, Java Capital, and 8i Ventures. The company’s technology-first approach has helped it establish a strong foothold in the digital lending ecosystem.
2. The Growth and Expansion Strategy of super.money
2.1 How super.money Operates
super.money, launched in July 2024, is a UPI-based payments platform that has rapidly scaled its operations. It focuses on digital financial services, including fixed deposits, secured credit cards, and now, BNPL and checkout financing. Unlike traditional lenders, super.money functions as a Technology Service Provider (TSP) rather than a direct lender, partnering with banks and NBFCs to offer financial products.
2.2 super.money’s Market Position and Growth
In just six months, super.money has become the sixth-largest third-party UPI payments provider in India, surpassing major players like Amazon Pay and WhatsApp Pay. The company recorded 124.83 million transactions worth Rs 4,565.57 crore in January 2025, marking an impressive 24% month-on-month growth.
3. Impact of the Acquisition
3.1 Strengthening the BNPL Ecosystem
The integration of BharatX’s technology will enable super.money to offer credit-on-UPI solutions. This will allow users to access instant loans and installment payment options directly through UPI, making credit more accessible without reliance on traditional credit scores.
3.2 Expanding Partnerships with Merchants and Banks
super.money plans to leverage BharatX’s existing partnerships with 200+ brands and four banking institutions to scale its embedded financing solutions. The firm is also in discussions with new banking partners to enhance its product offerings.
3.3 Competing with Other Digital Lenders
With this acquisition, super.money is positioning itself as a key competitor to fintech giants like ZestMoney, Simpl, and LazyPay. Unlike NBFC-backed BNPL providers, super.money’s UPI-based credit model reduces regulatory risks while ensuring seamless scalability.
4. Learning for Startups and Entrepreneurs
4.1 Importance of Strategic Acquisitions
Acquiring BharatX allows super.money to scale faster by integrating an established credit technology instead of building from scratch. Startups should consider M&A (Mergers and Acquisitions) as a growth strategy when looking to enter new markets.
4.2 Embedded Finance as a Growth Driver
The fintech industry is moving towards embedded financial solutions that provide credit access at the point of purchase. Startups in the digital finance space should explore checkout financing and BNPL models to improve consumer experience and retention.
4.3 Leveraging UPI for Financial Inclusion
The credit-on-UPI model presents an opportunity to democratize access to credit. Entrepreneurs can build products around digital lending, microfinance, and secured BNPL solutions to cater to the next billion users in India.
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When it comes to covering India’s fast-evolving fintech ecosystem, The Startups News delivers industry-vetted insights, exclusive stories, and deep dives into startup strategies. With an emphasis on financial technology and digital payments, we provide in-depth analyses on groundbreaking acquisitions like super.money’s acquisition of BharatX. Stay updated with The Startups News for the latest trends in digital finance, fintech regulations, and startup growth strategies.
