Amazon has signed an agreement to acquire Axio, a Bengaluru-based digital lending firm that provides credit access to underserved individuals and households across India.
The acquisition, which awaits regulatory approval, is expected to bolster Amazon’s footprint in the rapidly growing digital lending market and strengthen its efforts to offer affordable credit solutions.
Axio, founded in 2013, has served over 10 million customers and manages assets worth ₹2,200 crore with a gross non-performing asset (GNPA) ratio of 3%.
The company specializes in buy-now-pay-later (BNPL) services, personal loans, and expense management while enabling e-commerce merchants to integrate pay-later options at online checkouts.
The acquisition builds on a six-year business and equity partnership between Axio and Amazon, which included a $20 million investment in August 2023 through Amazon’s Smbhav Venture Fund.
This partnership has helped Axio scale its loan book and enhance its credit offerings, particularly in the self-employed and low-income sectors.
Axio’s statement highlighted the completion of due diligence and the deal’s signing in December, underscoring the transaction’s potential to diversify its offerings and expand access to credit.
The company expressed confidence in continuing its mission of financial inclusion, stating that Amazon’s support would enable it to reach a broader customer base and balance affordability, risk management, and customer experience.
Industry sources estimate the deal’s value at over $150 million, though neither company has disclosed financial details.
The acquisition positions Amazon to tap into India’s expanding digital lending market, which is characterized by low credit penetration and significant demand for financial services among the unbanked and underbanked populations.
Amazon’s move reflects a strategic focus on disrupting traditional lending models and creating a more inclusive financial ecosystem in India, reinforcing its commitment to customer-centric innovation and responsible lending practices.
Last August, Amazon invested $20 million in Axio through its Amazon Smbhav Venture Fund. At the time, Axio co-founders Sashank Rishyasringa and Gaurav Hinduja said the financing would enable the firm to further scale its loan book and expand credit offerings to existing customers.