Shares of this smallcap company fell 4 percent in Wednesday’s trading session despite the announcement of a significant milestone achieved by its international subsidiary Infibeam Avenues Saudi Arabia. The shares have delivered a multibagger return of 128 percent to its shareholders in one year.
With a market capitalization of Rs. 9,780 crores, the shares of Infibeam Avenues Ltd started Wednesday’s trading session positively at Rs. 37 compared to its previous close of Rs. 36.25. During the trading session, the shares hit a low of Rs. 34.10, making a loss of around 4 percent and are currently trading at Rs. 34.70 apiece.
According to the exchange filing, the company announced a significant milestone achieved by its international subsidiary Infibeam Avenues Saudi Arabia. The company has become the first Indian fintech player to receive PTSP Certification from the SAMA (Saudi Payments) to operate as a Payment Processor (PTSP -Payment Technical Service Provider) in the Kingdom of Saudi Arabia (KSA).
Furthermore, post-certification, the company’s flagship payment brand CCAvenue will establish itself as one of the major payment gateway (PTSP) players for digital transactions in the Saudi Arabian market. The company’s CCAvenue payment gateway solution has done data localisation and hosting within the Kingdom of Saudi Arabia (KSA) as well as secured PTSP processing approval from the authorities.
In addition to this, the company also announced its partnership with SAB, one of Saudi Arabia’s leading banks. This partnership is poised to further enhance the financial ecosystem in the Kingdom by leveraging Infibeam’s cutting-edge technology and SAB’s extensive banking expertise.
Moreover, partnering with SAB Bank will allow CCAvenue to leverage the bank’s market dominance and tap into its vast reach within Saudi Arabia to enable consumers, merchants and fintechs across the Kingdom with its innovative payment solutions.
Coming onto the company’s financial statements, the revenue increased by 15 percent from Rs. 790 crores during the September quarter to Rs. 912 crores in the December quarter. On the other hand, the net profits increased marginally by 2.5 percent from Rs. 40 crores to Rs. 41 crores during the same period.
The company has invested over Rs. 1 billion in creating a new AI Hub at GIFT city, Gandhinagar, to strengthen its position in AI-based fraud detection and prevention markets. Further, the company has also launched an AI hub and has signed an MoU with the Gujarat government worth Rs. 20 billion for developing this AI hub.
Headquartered in Gujarat, Infibeam Avenues was incorporated in 2010. The company is in the business of software development services, maintenance, web development, payment gateway services, e-commerce and other ancillary services.
Written By Vaibhav Patil
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
