EKO Financial Services is currently processing transactions of around Rs 100 Crore every month through it’s 900 outlets.
EKO Financial Services Stake Sale
EKO Financial Services , a delhi based mobile banking startup which is also a Business Correspondent for SBI has sold a 30% stake in the company to US based 4B Capital. The company has not disclosed the price at which the Series A Funding took place.
4B Capital is a Christian charity group and it’s investment in EKO is its debut deal. A representative from 4B Capital would soon be joining the Board of EKO Financial Services.
EKO was started in 2007 By Abhishek Sinha with Rs 20 Lakh donated by family and friends and in March 2009 it received a grant funding of more than Rs 80 Lakhs ( US$1.8 million) from CGAP’s Technology Program.
Mobile Banking in India – At Tipping Point ?
Sources have revealed that EKO Financial Services took more than 19 months to cross the Rs. 100 Crores transactions mark , but over the last few months the volumes have risen and now EKO is handling transactions of Rs. 100 Crores almost every month. The growth in turnover has also been attributed to it’s newly launched P2P Interbank Mobile Payments system which is supported by seven banks : State Bank of India, ICICI Bank, Union Bank of India, Bank of India, Yes Bank, Axis Bank and HDFC Bank.
The company currently has 600 outlets in Delhi-NCR and 300 in Bihar and has set an ambitious target of opening 20,000 outlets by the end of 2011. There are an estimated 600,000 villages in India with a population of 2,000 or more, but only 30,000 villages have access to banking services. – View – Bank Account Penetration Map of India