Two significant regulatory approvals have strengthened Infibeam Avenues Ltd.'s position in the digital payments ecosystem. The Reserve Bank of India (RBI) has granted the company in-principle approval to issue Prepaid Payment Instruments (PPIs) in accordance with the Payment and Settlement Systems Act, 2007, the company told the exchanges.
Key Highlights
- Infibeam Avenues secures RBI approval to issue prepaid payment instruments, expanding its digital payment offerings.
- The approval strengthens Infibeam’s fintech portfolio, enhancing financial inclusion and promoting secure, cashless transactions across India.
The filing states that Infibeam Avenues is authorized by the RBI to issue and run prepaid payment instruments, provided that a System Audit Report (SAR) is submitted within the allotted validity period. By entering the regulated PPI market, the company will be able to increase the range of fintech products it offers, including wallets, prepaid cards, and stored-value payment options.
The International Financial Services Centers Authority (IFSCA) granted IA Fintech IFSC Private Limited, a wholly owned subsidiary of Infibeam, in-principle approval to function as a Payment Service Provider (PSP) in GIFT-IFSC on the same day. The subsidiary is now permitted to provide merchant acquisition, escrow, and cross-border money transfer services.
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The company's operating revenue increased from Rs 745 crore in Q1 FY25 to Rs 1,280 crore in Q1 FY26 during the current fiscal year. In Q1 FY26, the company's net profit dropped 16% to Rs 58.4 crore from Rs 69.4 crore in the same period the previous year. Infibeam has not yet released its second-quarter financial results.
As of 10:30 AM, Infibeam's share price was trading at Rs 19.40 per share, giving the company a market capitalization of Rs 5,425 crore.
