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New Delhi, 27 March, 2025: Jindal Stainless, India’s largest stainless steel manufacturer, today, along with its wholly owned subsidiary, Jindal Stainless Steelway Limited, acquired 9.62% stake in M1xchange, India’s leading RBI-licensed Trade Receivables Discounting System (TReDS) platform. This deal involved a combination of primary capital and a secondary purchase of shares from existing shareholders. With this investment, M1xchange will continue to accelerate enabling seamless access to working capital for MSMEs and corporates, further strengthening the digital supply chain financing ecosystem in India.
Jindal Stainless’ support will enhance liquidity in the ecosystem, helping vendors and customers gain faster access to affordable credit. Additionally, this partnership will also assist Jindal Stainless digitize the financing operations, simplifying payment processes, accelerating its broader digitalization efforts, as well as reduce the overall working capital cycle, thereby enhancing operational efficiency across the supply chain structure.
Commenting on this development, Managing Director, Jindal Stainless, Mr Abhyuday Jindal, said, “At Jindal Stainless, we recognize that access to timely and affordable financing is a crucial growth enabler for businesses, especially MSMEs. This investment will have a two-pronged advantage – it will empower our domestic and international channel partners – both upstream and downstream; and provide enhanced liquidity to further strengthen JSL’s balance sheets. It reflects our ethos of building a holistic ecosystem that aligns with our vision of strengthening industry partnerships and driving inclusive economic progress.”
Mr. Anurag Mantri, ED and CFO at Jindal Stainless remarked, “The scale and reach of Jindal Stainless combined with the full suite of digital supply chain financing solutions at M1Xchange, including GIFT City offerings, would revolutionize traditional financing practices and pave the way for cheaper credit access for its entire global value chain, including the deep-tier channel”
“This investment by Jindal Stainless Limited marks a significant milestone in M1xchange’s journey of innovation, technology, and growth. Our suite of supply chain finance solutions, including TReDS for the domestic market, ITFS (GIFT City) for the global market, and our Channel Finance solution through Mynd Fintech, will empower JSL and its ecosystem partners to enhance growth and competitiveness. This strategic partnership will greatly expand access to working capital solutions for JSL’s suppliers and customers, both across India and globally,” said Sundeep Mohindru, Promoter & Director, M1xchange.
M1xchange connects MSMEs with banks and financiers through its marketplace exchange platform, enabling faster access to capital. With the M1xchange TReDS platform, MSMEs can auction their invoices at competitive rates via a transparent online bidding process, securing financing against such invoices at better terms to address the payment challenges they face.
There are two subsidiaries of M1xchange – M1NXT and Mynd Fintech. M1NXT, an International Trade Finance System (ITFS), that operates as a marketplace out of GIFT City, facilitating cross-border financing in foreign currency from banks and factoring companies based in GIFT City and globally. Mynd Fintech serves as a platform for facilitating channel finance from banks and factoring companies, thereby strengthening its commitment to providing diverse and effective financial solutions.
Deloitte India acted as the exclusive transaction advisor to Jindal Stainless Limited for this transaction. On the legal front, Jindal Stainless Limited was advised by Dentons Link Legal and Mynd Solutions was supported by Stratage Law Partners.
About Jindal Stainless Limited
India’s leading stainless-steel manufacturer, Jindal Stainless, had a consolidated annual turnover of INR 38,562 crore (USD 4.7 billion) in FY24 and is ramping up its facilities to reach 4.2 million tonnes of annual melt capacity by FY27. It has sixteen stainless steel manufacturing and processing facilities in India and abroad, including in Spain and Indonesia, and a worldwide network in twelve countries, as of March 2024. The company’s product range includes stainless steel slabs, blooms, coils, plates, sheets, precision strips, wire rods, rebars, blade steel, and coin blanks.
Jindal Stainless Limited relies on its integrated operations to enhance its cost competitiveness and operational efficiency. Founded in 1970, Jindal Stainless Limited continues to be inspired by a vision for innovation and enriching lives and is committed to social responsibility.
M1xchange is a TReDS (Trade Receivables Discounting) exchange that started in April 2017. M1xchange facilitates the financing of trade receivables of MSMEs from corporate buyers through ‘factoring’ or ‘invoice discounting’ by financiers (Banks and NBFC). In a short span of time, M1xchange has onboarded 65+ Banks, 2000+ corporates, and 48,000+ MSMEs and has facilitated discounting of invoices of more than Rs 160,000 Crores. Transactions on the TReDS platform happen digitally and start when the MSME Supplier of Goods & Services raises the invoice, and the Buyer validates the same. This permits the financiers (Banks/ NBFCs) to bid against the verified and approved invoice. Once the supplier accepts the bid, the payment is processed in 24 hrs. and credited to the MSMEs bank account. Through this platform, M1xchange promises MSMEs greater access to finance” at competitive rates and without providing any collateral. Further, the financing is without recourse. MSMEs pass on the risk of receivables to the financiers (NBFCs/Banks) by selling their receivables.