Online brokerage platform 5paisa Capital Ltd has approved the acquisition of Giskard Datatech Pvt. Ltd., a technology and data analytics company, in a move aimed at strengthening its digital investment ecosystem and expanding its research capabilities.
The acquisition, approved by the company’s board on July 28, will be completed through a combination of cash payments and a share swap arrangement. Under the transaction, 5paisa will acquire up to 58.68% of Giskard’s diluted equity capital for a cash consideration of as much as ₹121.57 crore, while a further 37.65% stake will be acquired through the issuance of equity shares.
As part of the transaction, 5paisa will issue 20.51 lakh shares on a preferential basis to Giskard shareholders under a share exchange ratio of 1:31. This means shareholders of Giskard will receive 31 shares of 5paisa for every share held in the company.
The transaction values each equity share of Giskard at ₹11,794, based on a valuation conducted using the discounted cash flow method. Upon completion of the acquisition and receipt of regulatory approvals, Giskard will become a wholly owned subsidiary of 5paisa.
Founded in 2016, Giskard specialises in software development, data analytics, technology infrastructure services and artificial intelligence-based investment solutions. The company reported revenue of ₹15.75 crore during the 2024-25 financial year, compared with ₹12.07 crore in the previous year.
According to 5paisa, the acquisition will enable the integration of advanced capabilities such as stock screening tools, portfolio analytics, research reports, proprietary databases and AI-powered investment solutions into its platform.
The company also clarified that its promoters will not directly acquire any shares in Giskard, correcting an earlier disclosure that had been inadvertently included in a stock exchange filing. Regulatory approvals for the transaction are expected to be obtained within the next six months.