M2P Fintech to boost AI stack with Mad Street Den acquisition

Banking infrastructure company M2P Fintech has agreed to acquire AI startup Mad Street Den (MSD) in a cash-and-stock transaction valued at about $15 million.

Following the acquisition, M2P Fintech will integrate MSD’s AI-powered platform, Vue.ai, into its suite of banking tech offerings, Moneycontrol said in a report, citing sources. MSD's flagship product, Vue.ai, is a general-purpose AI orchestration platform designed to collect, clean, and analyse data and powers companies across banking, finance, logistics, retail, and more sectors.

The report added that the transaction would be structured as an asset purchase rather than a conventional company acquisition as Mad Street Den is legally registered outside India. This means, M2P Fintech will acquire MSD’s intellectual property, existing contracts, and employees instead of taking over the company’s corporate entity.

A portion of the $10-15 million deal value will be allocated to covering operational liabilities, including employee salaries and other outstanding obligations, the report said.

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Founded in 2016 and headquartered in California, MSD is a computer vision and artificial intelligence company focused on making enterprises "AI-native" by providing scalable AI solutions across industries. It has offices in India and Japan and has raised $30 million from Sequoia Capital and Falcon Edge Capital, among other investors.

In September 2024, M2P Fintech raised Rs 850 crore in a Series D financing round led by Helios Investment Partners, valuing the company at over Rs 6,550 crore. Its existing investor Flourish Ventures also participated in the round.

At the time, the Chennai startup said it would use the funds—raised through a mix of primary and secondary share sales—to expand its operations in Africa and enhance its technology stack, focusing on AI and advanced data capabilities, as it aimed to scale partnerships with financial institutions.