Pepper Advantage, a global credit intelligence company, has acquired Rieom.ai, an AI-driven credit management software platform based in Pune, India. Rieom.ai’s flagship product is an AI/ML-driven pre-payout credit approval tool that assesses loan application documents using socio-demographic and profile-based analysis to identify fraud risks and suspicious behavior before credit approval.
The platform can analyze over 60 different document types, from ID verification to bank statements and utility bills, providing a scalable and contextual platform for evaluating loan application and portfolio risk analysis. It also includes automated transaction monitoring, offering significant advantages over manual processes commonly used in India’s financial services sector.
Rieom.ai has processed over 2.3 million documents and expects to continue its rapid growth. Pepper Advantage intends to expand its market in India to include fintechs, microfinance companies, small finance businesses, co-operative banks, insurance, and government institutions.
The acquisition marks Pepper Advantage’s expansion into the Indian market and reflects its AI-driven credit management model, which it plans to bring to other high-growth countries such as Indonesia, Vietnam, and the Middle East. Integrating Rieom.ai’s technology into Pepper Advantage’s credit technology platform will provide an end-to-end solution accessible via API and replace legacy credit management processes.
Commenting on the acquisition, Fraser Gemmell, Chief Executive Officer, Pepper Advantage said:
“The acquisition of Rieom.ai rapidly expands Pepper Advantage’s addressable market in India and represents an AI-driven credit management model we will soon be bringing to additional high-growth countries. It also furthers our suite of cutting-edge technology and gives us the opportunity to add credit risk analysis to our broader platform, a growing priority in the market since the Reserve Bank of India highlighted rising instances of fraud in its most recent annual report. Our commitment to improving our data and technology capabilities is expanding Pepper Advantage’s client pool from traditional loan originators at financial institutions, to include the fast-growing non-bank lending sector, which is typically more reliant on third-party tech providers that offer plug-and-play solutions.”
Mukund Kulkarni, CEO of Pepper Advantage India, said:
“India’s macro-economic growth is being propelled by astonishing demographics. India became the world’s most populous country last month, with the population expected to peak at 1.7 billion in the coming years, which would be almost 50% greater than that of China. We expect the credit and financial services markets to expand in line with these demographic trends, with systems growth for loans currently tracking at 20% year-on-year, and retail and MSME disbursement expected to grow at 19% annually for a decade. Such growth means credit providers will need to leverage the data and technology we offer to deliver services efficiently at scale. This technology will drive financial inclusion in India’s rapidly expanding population by assessing credit worthiness without a credit score, which can be a barrier to entry for the unbanked.”
