Perfios acquires fraud-detection platform Clari5 to expand offerings

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Bengaluru-based SaaS firm Perfios has acquired fraud-detection platform Clari5 (CustomerXPs) for an undisclosed amount, strengthening the financial crime management suite for banks, NBFCs, and fintech companies, the company said on February 7.

The deal comes at a time when the demand for sophisticated fraud detection tools and platforms is on the rise, driven by increasing digital payments fraud.

Clari5 will operate as a wholly-owned subsidiary of Perfios, with its leadership team continuing to run the business independently.

"The acquisition of Clari5 marks a significant milestone in our journey to build a comprehensive fraud and risk management ecosystem. Clari5’s real-time financial crime management platform complements Perfios’ mission to provide secure and scalable solutions," Perfios CEO Sabyasachi Goswami said in a statement.

Clari5, which specialises in enterprise fraud management (EFRM), anti-money laundering (AML) and risk-intelligence solutions, has processed over 10 billion transactions monthly and manages over 1 billion accounts across over 15 countries, the fintech company said in a release.

“This partnership enables us to expand our reach, accelerate product innovation, and strengthen our ability to help financial institutions combat financial crime with unmatched speed and precision.” Clari5 CEO Rivi Varghese said.

Also read: RBI governor Sanjay Malhotra cautions lenders against rising digital frauds

Banks and fintech firms are strengthening their cybersecurity measures to tackle evolving threats.

Besides Perfios, other key players in the space include IDfy, Signzy, Bureau, Hyperverge, and newer entrants such as Digitap, Surepass, BeFiSc, and Ongrid, all developing advanced tools to help financial institutions, e-commerce platforms, gaming apps, and even matrimonial services identify and mitigate fraudulent activities before they infiltrate their systems disguised as genuine customers.

Also read: Bizarre browsing habits, sneaking IP moves, shifty typing: How startups are sniffing out digital fraudsters

New synergies 

Perfios, which turned a unicorn in 2024 after raising $80 million in a Series D1 round from Teachers’ Venture Growth (TVG), has been expanding its offerings, especially international markets.

Unicorns are companies which are valued at $1 billion or more.

In September 2023, it acquihired Chennai-based open finance platform Fego.ai. The company claims to operate in 18 countries, working with over 1,200 financial institutions with software solutions for underwriting, onboarding, decision-making, and risk management.

Perfios FY24 net profit surged 9.2X to Rs 71.67 crore, driven by a 37.1 percent rise in revenue at Rs 557.8 crore. Its domestic operations contributed Rs 505.6 crore to its revenue, while international operations accounted for Rs 52.21 crore.

Also read: A sneak peek into I4C: Tackling India’s rising fintech frauds, one mule account at a time

Clari5 reported a net profit of Rs 3.4 crore on a revenue of Rs 76.5 crore, as reported by TheKredible. Since its inception in 2006, the company has raised around $3.9 million in equity funding from Jatf V Singapore, M&S Partners, JAFCO Asia and angle investors.