Zepto and Zaggle Signs Agreement, SaaS Startup to Offer SaaS Solutions To Quick Commerce Giant

Manvendra HadaJanuary 9, 2025

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Three points you will get to know in this article:

Zaggle stated that it will supply its cost management tool “Zoyer Petty Cash” and employee benefits platform “Zaggle Save” to Zepto.
The customer service agreement with Zepto will increase Zaggle’s order book and add a big homegrown player to its client roster.
The company’s shares closed 2.47% lower on the BSE on Wednesday (January 8) at INR 532.25.

Zaggle To Offer SaaS Services to Quick Commerce Unicorn Zepto

Zaggle, a publicly traded financial SaaS business, has agreed to supply its solutions to Zepto’s parent company, KiranaKart Technologies.

Raj Narayanam founded Zaggle in 2011 to provide a platform for spend management and corporate employee perks. Its products enable businesses to automate their accounts and issue prepaid cards. Its SaaS offerings also include tax and payroll software.

In an exchange filing, Zaggle stated that it will offer Zepto with its cost management platform “Zaggle Zoyer Petty Cash” and employee benefits platform “Zaggle Save”.

“.. this is to inform you that Zaggle Prepaid Ocean Services Limited (Zaggle), has entered into an agreement with KiranaKart Technologies Private Limited,” the fintech software-as-a-service company stated.

Services Provided Zaggle, Business Model of Zaggle

Zaggle Zoyer Petty Cash enables organizations to manage little expenses in a streamlined and automated manner. The startup claims that this software helps businesses with real-time tracking, preventing cash leakage, pre-checking expenditures, and providing great control and transparency.

Zaggle Save, on the other hand, is an employee spending management program that allows employees to save money on taxes through flexible benefit plans. Furthermore, the program enables employers to handle employee benefits, such as food allowances and fuel cards, with a single card.

The customer service agreement with Zepto will increase Zaggle’s order book and add a prominent domestic player to its client roster.

Zaggle Funding Rounds, Acquisitions, Zaggle Profits, Revenue, Zaggle Share Price

The development came shortly after Zaggle raised INR 594.84 crore through qualified institutional placement (QIP) last month. The financial SaaS platform issued 1.13 crore equity shares to qualifying institutional buyers.

Recently, media stated that the business plans to make three acquisitions and investments by March of this year.

Notably, in September 2024, Zaggle purchased a 26% share in Mobileware Technologies for INR 15.6 crore.

Zaggle’s consolidated net profit increased by 167.67% to INR 20.29 Cr in the second quarter (Q2) of the fiscal year 2024-25 (FY25), up from INR 7.58 Cr the previous year. Operating revenue increased by 64.21% to INR 302.55 crore in the quarter under review, from INR 184.24 crore in Q2 FY24.

The company’s shares closed 2.47% lower on the BSE on Wednesday (January 8) at INR 532.25.