Dreamfolks Services Limited , a company known for its airport lounge access services, has announced a strategic move to expand its presence in the railway hospitality sector. The company's Board of Directors has approved a proposal to invest up to INR 11.46 crore to acquire a 50.01% partnership stake in Ten11 Hospitality LLP, a firm specializing in operating premium lounges.

Acquisition Details

The acquisition is expected to be completed within approximately 15 days and will be executed through cash consideration settled via online banking channels. Upon completion, Ten11 Hospitality LLP will become a subsidiary of Dreamfolks Services.

Strategic Rationale

This move aims to consolidate and strengthen Dreamfolks' value chain over its existing railway lounge service operations. By acquiring one of its key current service partners, Dreamfolks seeks to enhance its capabilities in providing physical infrastructure and assets at key railway stations for lounge services.

Ten11 Hospitality LLP: A Snapshot

Financial Performance

Ten11 Hospitality LLP has shown significant growth in its turnover over the past three financial years:

The substantial increase in turnover, particularly in FY 2024-25, indicates a robust growth trajectory for Ten11 Hospitality LLP.

Regulatory Compliance

Dreamfolks Services has confirmed that this acquisition does not fall within related party transactions, and no promoter group companies have any interest in Ten11 Hospitality LLP. The company has made the necessary disclosures in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Looking Ahead

This strategic acquisition positions Dreamfolks Services to potentially expand its service offerings in the railway sector. As the company integrates Ten11 Hospitality LLP's operations, investors and industry observers will be keen to see how this move enhances Dreamfolks' market position and financial performance in the coming quarters.

Dreamfolks Services Limited is scheduled to hold a Board Meeting on November 14, 2025, to consider and approve the Unaudited Financial Results for the quarter and half year ended September 30, 2025. This upcoming financial disclosure may provide further insights into the company's performance and the potential impact of this acquisition on its overall business strategy.

Dreamfolks Services , a leading airport service aggregator, has seen its shares skyrocket by 40% over the past seven trading sessions, with a remarkable 15% surge on Monday alone. This impressive rally comes on the heels of several strategic announcements that have caught investors' attention.

Stock Performance Highlights

The stock's trading volume has surged significantly, with over 15 lakh shares changing hands compared to the 20-day average of 95,000 shares, indicating strong investor interest.

Strategic Partnerships and Initiatives

Dreamfolks Services has recently announced several key partnerships and initiatives:

1. Collaboration with The Card Company to launch 'Alpha', India's first premium wallet integrating travel and lifestyle privileges.
2. Introduction of DreamFolks Club Memberships at the upcoming Global Fintech Fest.
3. Partnership with WSFx Global Pay Ltd. to enhance travel payment services.

These strategic moves appear to have bolstered investor confidence in the company's growth prospects.

Business Challenges

Despite the positive market reaction, Dreamfolks Services faces some challenges:

• Discontinuation of domestic airport lounge services to clients as of September 16, while maintaining other services.
• Earlier this year, multiple clients terminated lounge service contracts due to pressure from airport operators entering the same business.
• CEO Liberatha Peter Kallat has attributed client losses to pressure tactics by airport operators.

Market Position

While the recent rally is significant, it's important to note that Dreamfolks Services' current share price of ₹144.70 remains 70.00% below its 52-week high of ₹469.90. This suggests that despite the recent gains, the stock has considerable ground to cover to reach its previous peak.

Investors should carefully consider both the company's strategic initiatives and the challenges it faces in the competitive airport services landscape when evaluating its potential for future growth.