ServiceNow, an American enterprise software company known for automating workflows such as IT service management and human resources, is betting on the Indian banking software specialist to further strengthen its foray into global financial services.
The company invested $40 million in BusinessNext, taking a roughly 5% stake, valuing the 24-year-old Indian company at $700 million. The deal gives BusinessNext access to ServiceNow’s global distribution network and expands the two companies’ collaboration in AI for financial services.
ServiceNow’s investment reflects BusinessNext’s growing profile beyond India. The profitable Noida-based company had revenues of approximately $32 million in its most recent financial year and serves more than 70 banks in India, Southeast Asia, the Middle East and the United States. Its customers include the country’s central bank, the Reserve Bank of India, India’s largest public and private sector financial institutions, State Bank of India and HDFC Bank.
About half of BusinessNext’s revenue comes from outside India, and much of its future growth is expected to be driven by overseas markets, founder and CEO Nishant Singh said in an interview.
The company chose ServiceNow over potential financial investors to leverage the U.S. software group’s global reach and accelerate its expansion. Singh told TechCrunch that the partnership will help BusinessNext “borrow” its go-to “machine” (referring to ServiceNow’s sales infrastructure) in markets where it has a limited presence.
“Think of this as a strategic partnership that is solidified with capital,” he said.
Singh said BusinessNext’s software manages customer-facing banking workflows, while ServiceNow’s strengths are in workflow automation and back-office systems, which the two companies plan to jointly sell to financial institutions.
“India’s financial services sector is at a tipping point. Institutions are moving from digital experimentation to full-fledged AI-driven operations,” said Kulmeet Bawa, Group Vice President and Managing Director, India and SAARC, ServiceNow. He added that the partnership combines ServiceNow’s enterprise workflow platform with BusinessNext’s banking expertise.
Founded in 2002, BusinessNext (known as CRMNext until 2022) has spent several years building what Singh calls an “autonomous banking” platform, using AI agents to automate banking workflows and storing sensitive customer data on private AI infrastructure to meet regulatory and privacy requirements.
Singh told TechCrunch that AI was built into the company’s platform from the beginning, rather than being added as an afterthought. “We actually changed the company name and kind of rewrote the stack to fundamentally put that at the core,” he said.
BusinessNext employs more than 1,300 people across its businesses and was last valued at $181 million in 2021, according to private market intelligence platform Tracxn. The company has raised more than $60 million in external funding, and existing investors include Avataar Ventures, Norwest Venture Partners, and Ascent Capital.
The partnership comes as existing enterprise software vendors face pressure from customers who are questioning whether traditional SaaS tools are worth paying for when AI-native alternatives are emerging. For ServiceNow, the deal builds on its position in the banking industry by partnering with companies focused on AI-driven banking software as it expands its enterprise software portfolio through acquisitions, investments and partnerships.
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