Gurugram-based payments major MobiKwik said it is entering into the stock broking segment. The company has set up a wholly-owned subsidiary Mobikwik Securities Broking Private Limited.

In an exchange filing, the company said that the corporate affairs ministry approved the incorporation of the subsidiary on March 3. The company, which has been set up with an initial paid-up share capital of Rs 1 lakh, will get Rs 2 crore investment from the parent entity in one or more tranches.

The entity will operate as MobiKwik's stock broking arm and will deal in shares, stocks, securities, debt instruments, commodities, currencies and their derivatives.

The development comes almost a month after the company’s board gave its nod to invest in one or more wholly owned subsidiaries. 

While through this expansion, MobiKwik -- which is led by Bipin Preet Singh and Upasana Taku -- aims to increase its revenues and return back to profitability, the company will be competing with fintech behemoths like Zerodha, Groww, Angel One, Dhan, PhonePe, Paytm Money, Upstox among others.