Infibeam Avenues shares hit 5% upper circuit on pact with Jio Platforms

The company has entered into a definitive agreement with Jio Platforms and its affiliates to license, customise, maintain and access enterprise e-commerce software and payments platform.

Shares of Infibeam Avenues were locked in the upper circuit limit of 5 per cent at Rs 82.55 on the BSE on Tuesday after the company entered into a definitive agreement with Jio Platforms and its affiliates. The stock of the leading global financial technology (Fintech) solutions provider was trading close to its 52-week high level of Rs 84, touched on September 16, 2020.

“The Company has entered into a definitive agreement with Jio Platforms and its affiliates ("JPL"), to license, customise, maintain and access our enterprise e-commerce software and payments platform for their business use,” Infibeam Avenues said in an exchange filing.

Till 10:07 am, a combined 51,000 equity shares had changed hands and there were pending buy orders for 4.4 million shares on the NSE and BSE.

In the past six months, the stock has outperformed the market by surging 103 per cent as compared to a 42 per cent rise in the S&P BSE Sensex.

The management said the Company is well-positioned to capture growth from the ongoing digital transformation led by both consumers and enterprises, which has been further accelerated by the prevailing pandemic situation.

The Company has channelised all the seven high growth Fintech platform comprising – Payment Gateway and white label solution (CCAvenue), Bill payments (BillAvenue), Hospitality Solution (ResAvenue), B2B Payments and white label solution (B2Biz), Payment processing for financial institutions (CCAvenue PG ServicesCPGS), Digital lending and card issuance (CCAvenue Finance) and Enterprise Platform for eCommerce to support the economic recovery of businesses.

For the April-June quarter (Q1FY21), Infibeam Avenues has registered improved operating margins on a sequential basis. On account of cost optimisation measures, the EBITDA margin was improved by 190 bps to 38.0 per cent against 36.1 per cent in Q4FY20.