The BSE listed global Financial Technology () solutions provider Avenues has joined the race for Reserve Bank of India’s New Umbrella Entity.

The central bank is looking to set up a new payment system in the retail space that would operate in the retail space. The government is keen on this and may give preference to Indian companies.

“The entity formed shall be a company incorporated in India under the Companies Act, 2013, and may be a ‘for-profit’ or a Section 8 Company as may be decided by it,” the RBI recently said in a statement.

The Ahmedabad headquartered company recently said it would demerge its SME E-commerce and marketplace businesses to Suvidhaa and Themepark; Event Software business to DRC. Under the Scheme, all Infibeam Avenues Limited shareholders as on the record date will be allocated additional shares of Suvidhaa Infoserve Ltd. and DRC Systems India Ltd. without any additional cost under this Scheme of Arrangement in a swap ratio.

Suvidhaa will issue 197 equity shares for every 1500 equity shares to the shareholders of Infibeam Avenues Limited. DRC will issue 1 equity share for every 412 equity shares to the shareholders of Infibeam Avenues Limited, the company said.

Infibeam has also made a new investment keeping in mind the New Umbrella Entity. The company said that it is acquiring So Hum Bharat Digital Payments Private Limited.

The investment will enable us to expand the scope from our current offerings of digital payments and software platforms by setting-up, manage and operate new payment system in the retail space comprising of but not limited to ATMs, White Label PoS; Aadhaar based payments and remittance services; newer payment methods, standards and technologies, operate clearing and settlement systems for participating banks and non-banks and to further strengthen the retail payments ecosystem in the country.

In terms of opportunity from the current digital payments target market of 300+lakh crores to the entire 1700+ lakh crores market, the company said in a statement on Thursday.

“Recently, Hum Bharat Digital Payments (So Hum) announced that it is in discussion with Yes Bank for 9.99% equity investment and will jointly work towards the NUE’s product; business strategy with key focus on accelerating innovations, inclusion and digital penetration in India,” the statement said.

The company’s revenues grew by about 53% and profit after tax 95% quarter on quarter. “We had the best quarter ever with 53% revenue growth, quarter on quarter, and 47% compared to the same quarter last year. Performance was strong across both our business segments, that is digital payments and enterprise software platforms, on the back of robust growth in operating metrics,” Vishal Mehta, Managing Director, Infibeam said.

Hiren Padhya, Chief Financial Officer, said, “Infibeam Avenues continues to maintain and accelerate its Enterprise Digital Payment and Platform businesses growth both in domestic and international markets. During the quarter, the Company has registered all round performance across its digital offerings.”

The company’s stock price was up by 9.85% or Rs 8.20 to close at Rs 91.45 on Thursday.





News Of India

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