Veefin acquires UAE-based digital trading firm TradeAssets

Mumbai-headquartered Veefin Group of Companies (Veefin) which operates in the supply chain finance space, on Tuesday, announced that it has acquired TradeAssets, a UAE-based company specialising in the digital trading of trade finance assets. This acquisition, executed through Veefin’s subsidiary Estorifi Solutions, strengthens the company’s position as a one-stop solution for banks and financial institutions, helping them manage liquidity, distribute risk, and access global markets. This marks Veefin’s fifth acquisition in the past eight months, bringing its total portfolio to ten companies.

TradeAssets, founded by banking veterans Lakshmanan Sankaran and Sumit K Roy, has transformed trade finance by enabling financial institutions, development banks, and commodity traders to buy and sell trade finance assets efficiently. The platform supports trading in instruments such as Letters of Credit, Guarantees, Open Account payables and receivables, including Islamic finance products. In just three years, TradeAssets has handled transactions worth over $4 billion and has connected more than 120 banks across 35 countries. The platform plays a crucial role in helping banks constrained by Basel regulations to quickly liquidate assets, freeing up capital for new lending opportunities.

By integrating TradeAssets, Veefin strengthens its trade finance offerings, allowing banks to originate, distribute, and manage trade finance assets through a unified ecosystem. 

Raja Debnath, Chairperson, Co-Founder & CEO of Veefin Group, said that integrating TradeAssets into Veefin’s ecosystem will enable the company to offer more comprehensive solutions to financial institutions worldwide. He emphasised that Veefin’s vision is to build an integrated platform that covers all aspects of trade finance, from origination to distribution and beyond.

Lakshmanan Sankaran, Co-Founder & Chairman of TradeAssets, said that the trade finance industry consists of over 10,000 banks with an estimated $1 trillion in secondary asset sales and $2 trillion in primary asset origination. He stressed that banks are actively seeking more efficient ways to manage liquidity and risk, and by joining Veefin Group, TradeAssets will be able to offer a more robust and comprehensive platform for financial institutions.

In August 2024, Veefin had acquired Nityo Tech Pvt Ltd, the India-invested business of Nityo Infotech Singapore. Nityo Infotech, the parent company, operates in Artificial Intelligence (AI) and Machine Learning (ML) solutions for the financial services sector. With a presence in over 44 countries, the company has served more than 3,000 clients worldwide.