LKP Finance shares surged 5% in intraday trading on the BSE on Wednesday, January 7, reaching an intraday high of ₹1,027 from its previous close of ₹978.85. According to reports from Mint and Samco, the stock opened flat but gained momentum despite weak overall market sentiment, reflecting investor optimism about the company's strategic transformation into the digital payments and rewards space. The stock has demonstrated exceptional long-term performance with nearly 420% gains over the past year and over 1,100% returns over a three-year period. The stock's 52-week high stands at ₹1,050 (recorded on November 3) while its 52-week low was ₹166.52 (recorded on January 13 last year), highlighting the significant re-rating the counter has experienced.
LKP Finance Ltd. has acquired a strategic stake in digital gifting platform Gyftr as part of a significant shift from its traditional non-banking financial company model to a payments and rewards-focused fintech platform. According to reports from The Hindu Businessline, the company announced Wednesday it has applied to surrender its NBFC license. The transaction leverages LKP Finance's existing 22 per cent stake in Mufin Pay, which owns 100 per cent of Gyftr (Vouchagram Private Limited). As reported by Samco, this structure enables deeper operational and platform-level alignment and is positioned as a foundational step in reshaping how the group operates within digital payments and reward-based financial services, rather than operating as separate verticals.
As reported by The Hindu Businessline and confirmed by Gyftr, LKP Finance is pursuing a name change to Gyftr, with a licensing agreement currently in process. According to Samco, the name change, once completed, is intended to align the company's identity with its expanding payments and rewards platform strategy and build brand cohesion across the group's financial and digital offerings. The move positions the combined entity to compete in India's loyalty and rewards market, currently valued at ₹35-40 billion and expected to exceed ₹65 billion by 2030. Digital gifting has emerged as a significant growth driver, with over 150 million e-gift cards issued in the past year.
Mufin Pay's prepaid payment instrument license will serve as the regulated payments infrastructure, while Gyftr brings expertise in digital gifting, incentives, and rewards across over 300 brands. According to The Hindu Businessline, the platforms will consolidate to create a unified payments and digital rewards offering under a single regulated ecosystem. The corporate gifting segment alone is estimated at ₹12,000-15,000 crore and is growing at 18-20 per cent annually, driven by employee engagement programs, customer loyalty initiatives, and sales incentives. From the company's perspective, the integration is designed to support high-frequency digital reward usage and scalable and compliant platform growth.
As reported by The Hindu Businessline and Samco, the integration aims to transform rewards from promotional tools into core components of business and financial processes. According to Gyftr's commentary, combining regulated payment infrastructure with digital reward capabilities could help embed rewards into everyday financial and business transactions, creating long-term value by expanding engagement and opening up new revenue-linked use cases across the wider payments ecosystem. The combined entity seeks to capitalize on the rapidly expanding digital payments and rewards ecosystem in India, positioning itself as a comprehensive solution provider in the fintech space. The positive market response reflects investor confidence in this strategic pivot away from traditional NBFC operations toward a structural business transition focused on payments and rewards.
