Payback time for India’s i-Mint

Payback has acquired an 86 per cent stake in India's largest loyalty card provider - i-Mint.

Europe’s leading bonus card services providers,Payback and Peepul Capital,has acquired an 86 per cent stake in India’s largest loyalty card provider – i-Mint in an all-cash deal,a top company official said.

Payback is the card business arm of German-based Loyalty Partner,that provides loyalty management solutions through Payback bonus scheme.

“The acquisition will help us provide cutting-edge new services to Indian shoppers and retailers through Payback’s international expertise with i-Mint’s local know-how and pan-India market presence,” Payback’s CEO,Alexander Rittweger,told reporters at a press conference here today.

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Payback alongwith Indian private equity firm,Peepul Capital,owns an 86 per cent stake in i-Mint. While Payback has a majority stake of a little over than 50 per cent,the rest of the stake is held by Peepul Capital,i-Mint and ICICI Ventures.

Payback has also bought a substantial portion of the stake that ICICI Ventures had in i-Mint. Post the buyout,ICICI Ventures has a mere 10 per cent stake in i-Mint.

Payback,which has Euro 20-billion sales in Europe,expects a revenue of Rs 180-crore from the Indian market over the next 3-4-years.

“India is a very dynamic market with tremendous growth in banking,food retail and telecom. It is also a very price-sensitive market. We want to tap the potential and build a world-class customer rentention and direct marketing platform to support the retail revolution in the country,” Rittweger said.

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Asked on the company’s future plans and investment in India,Rittweger said that Payback would be investing significantly in technology,back-end solutions and retail network. He,however,would not divulge any details.

i-Mint,which has a customer base of 1,500 companies in India such as ICICI Bank,HPCL,Air India and MakeMyTrip.com,also expects to expand its base globally by bringing in more international and national brands.

i-Mint is an unique rewards program that lets one earn points for the things one do daily,like refueling,using a mobile phone,traveling,shopping,eating out or watching movies. The points can be redeemed redeemed against an extensive reward catalogue with a variety of gifts or vouchers.