Shares of Infibeam Avenues Ltd rose over 9% today after the firm received the final authorisation from the Reserve Bank of India (RBI) to operate as a payment aggregator for its payment gateway brand, CCAvenue.
Infibeam Avenues stock gained 9.54% to Rs 38.45 against the previous close of Rs 35.10 on BSE. Market cap of the firm rose to Rs 10,371 crore. With today’s rally, the stock has approached its 52 week high of Rs 40 reached on February 1 this year.
The stock fell to a 52-week low of Rs 12.85 on March 28, 2023.
Total 45.75 lakh shares of the firm changed hands amounting to a turnover of Rs 17.18 crore on BSE.
Earlier, India’s first listed AI-powered fintech company received the in-principle approval from the RBI to operate as a payment aggregator (PA) in October 2022.
In terms of technicals, the relative strength index (RSI) of the stock stands at 53.9, signaling the stock is trading neither in the overbought nor in the oversold zone. Infibeam Avenues shares are trading higher than the 5 day, 20 day, 50 day, 100 day moving averages.
In March 2020, the RBI introduced the PA framework, which makes its mandatory for payment gateways to secure an aggregator licence for acquiring merchants and delivering digital payment acceptance solutions.
Over 10 million merchants are on Infibeam’s platform and this year, the company has already crossed half a million merchant onboarding in 1H FY24, as per the release. The company attributes this growth to the growing relationship with the bank partners and merchants, it said.
Vishwas Patel, joint managing director of Infibeam Avenues said the company is grateful to the RBI for granting the PA licence.
"It’s a testimony of our unwavering commitment to maintaining ever evolving regulatory standards and it highlights the significance of our role in advancing the digital payments industry over the last 24 years. The industry already recognizes CCAvenue, our flagship payment gateway brand, as the gold standard payments platform, thanks to our rigorous compliance standards for onboarding Indian merchants as well processing transactions securely at scale. The final payment aggregator licence granted by the RBI is a monumental boost for our payment business. And with this licence we will allow us to continue the seamless and secure digital payment growth and increase financial inclusivity for the masses," he said.