MobiKwik has transferred its entire digital lending business to wholly-owned subsidiary MDSPL, completing a key condition for its NBFC licence.

One MobiKwik Systems has moved its digital lending operation, along with the employees who run it, into MobiKwik Distribution Services Private Limited (MDSPL).

The parent business owns the subsidiary in its entirety. Shareholders cleared the move through a postal ballot on July 2, 2026, and MobiKwik followed up by putting in Rs 60.85 crore as equity into the new unit.

There’s a clear regulatory reason behind the restructuring. The Reserve Bank of India approved MobiKwik’s application for an NBFC licence back in April, but on one condition.

The company’s Lending Service Provider business had to be hived off into a separate, wholly-owned entity before the final registration certificate could be issued. This transfer ticks that box.

To run the new unit, MobiKwik has brought in Manish Pathania as Chief Business Officer. He carries close to two decades of experience in digital lending, most recently heading the business at Bajaj Markets.

Earlier in his career, he worked with GE Money and HDB Financial Services. Pathania will now be responsible for loan sourcing, underwriting, servicing and collections at MDSPL.

The lending business itself has had a strong run lately. Gross profit from financial services rose 459% year-on-year in the June quarter of FY27.

Of the loans disbursed during the period, 32% came through MobiKwik’s own distribution model, while the remaining 68% moved through partner arrangements under the First Loss Default Guarantee, or FLDG, model.

MobiKwik is now targeting quarterly loan disbursals of Rs 1,000 crore or more in the coming quarters.

The company says it plans to build on this with its base of 9.5 crore engaged customers and new lender partnerships.

The transfer gives MobiKwik a cleaner, dedicated structure to grow its lending arm as it moves toward full-fledged NBFC status.

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