Digital lending company Capital Float has acquired personal finance management application Walnut for $30 million. As a part of the acquisition, Walnut’s founders Patanjali Somayaji and Amit Bhor will join the leadership team of Capital Float. While Capital Float's statement did not contain the financial or any other details of the acquisition, multiple reports indicate that Walnut’s 35-member team will be absorbed into Capital Float, which will bring Capital Mind's headcount to 650. Reports also indicate that the acquisition is a cash-and-stock deal. With the acquisition, Capital Float hopes to boost its recently launched app-based consumer financing business particularly through Walnut’s direct digital credit line business, Walnut Prime. The service employs Walnut’s credit assessment model, dubbed ‘Prime Credit Score’, which captures data from alternative sources such as income and purchase capacity, to extend credit lines to new customers. Capital Float also wants to increase its total assets under management to Rs 5,000 crore within a year from the current Rs 1,300 crore, and expand its customer base to 500,000 from about 125,000 now, Hinduja told Economic Times. Backed by Sequoia and SAIF Partners, Pune-based Walnut offers a personal finance management solution through a mobile application. It allows its users to split funds between friends, bill payments, track spends and check card and bank balances and do peer to peer transactions. Walnut claims to have 7 million app downloads and about 1 million monthly active users and 300,000 daily active users. Interestingly, the development also comes after reports claimed that Walnut was…
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