LKP Finance has executed a strategic acquisition of a stake in Gyftr (Vouchagram Private), signaling a fundamental transformation from its traditional NBFC-led business model toward a comprehensive platform-driven fintech ecosystem. This move positions the company to capitalize on India's rapidly expanding digital payments, rewards, and transaction-led services market.

Strategic Business Transformation

As part of this strategic pivot, LKP Finance has applied to surrender its NBFC licence, demonstrating its commitment to focus exclusively on scalable fintech operations. This decision reflects the company's intention to move away from traditional financial services toward more dynamic, technology-driven solutions.

The acquisition structure leverages existing relationships and ownership patterns to create operational synergies:

Market Opportunity and Growth Potential

The combined platform is strategically positioned to capture significant opportunities in India's loyalty and rewards ecosystem. The market presents compelling growth dynamics across multiple segments:

These growth projections are driven by enterprise incentives, BFSI-led rewards programs, and increasing digital adoption across consumer segments.

Leadership Vision and Strategic Direction

Arvind Prabhakar, CEO of Gyftr, emphasized that the investment "validates Gyftr's vision of building digital rewards infrastructure" and will enable rewards to become "an essential component of regular financial and business processes rather than just a promotional tool." This perspective highlights the evolution from traditional promotional rewards to integrated business solutions.

Kapil Garg, Promoter Managing Director of LKP Finance, noted that the integration "creates a powerful synergy promoting high-frequency digital reward use cases and regulated payment rails." This combination enables the platform to scale operations, enhance consumer engagement, and explore new revenue streams.

Platform Integration and Service Offerings

The acquisition creates a comprehensive ecosystem where Gyftr's digital gift cards and incentive systems integrate seamlessly with Mufin Pay's licensed payment infrastructure. This integration enables the development of programmable value instruments with applications across:

• Employee benefits and corporate incentive programs
• Customer loyalty and retention initiatives
• Enterprise-wide incentive management systems
• Strategic engagement tools beyond seasonal promotions

The digital gifting market is experiencing significant evolution, transforming from traditional seasonal promotions to strategic engagement tools that integrate with payments, loyalty programs, and comprehensive employee incentive structures. This transformation positions the combined platform to capture value across multiple business verticals and use cases.

LKP Finance Limited , a Mumbai-based financial services company, has reported a profit of Rs 583.15 lakhs for the quarter ended September 30, 2025, while simultaneously managing significant operational and financial developments.

Financial Performance

The company's Board of Directors approved the unaudited financial results for the quarter and half year ended September 30, 2025. While the specific details of revenue and other financial metrics were not disclosed, the reported profit indicates a positive financial performance for the quarter.

Leadership Transition

LKP Finance announced a change in its key management personnel:

Mr. Rishi Arya, the newly appointed Company Secretary & Compliance Officer, brings over 1.5 years of diverse professional experience to the role. He is a qualified Company Secretary and an Associate Member (A73634) of the Institute of Company Secretaries of India. Mr. Arya also holds a law degree from Dr. Bhimrao Ambedkar University, Agra.

Debt Management and Legal Challenges

The company reported significant developments related to its debt:

Write-back of Long-standing Loan

LKP Finance has written back Rs 1,474.24 lakhs from a long-standing loan liability that had been on its books for over twelve years. This loan was originally borrowed from M/s Bestride Consultancy Private Limited.

Ongoing Litigation

The company is currently facing litigation regarding borrowings of Rs 2,122.40 lakhs. A garnishee order from the Recovery Officer, DRT, Bangalore, claims Rs 2,500.00 lakhs plus interest. In response:

• LKP Finance has contested the claim
• Deposited Rs 1,126.22 lakhs (included in other non-financial assets)
• Investment in mutual funds worth Rs 613.44 lakhs has been attached by the Recovery Officer

The matter is pending before the Debt Recovery Appellate Tribunal, Chennai, with the outcome remaining uncertain.

Auditor's Observations

The company's statutory auditors, M/s. PARV & Co., have issued a qualified opinion in their limited review report. The qualifications primarily relate to:

1. Lack of balance confirmation/term sheet from two lenders for loans aggregating Rs 3,596.65 lakhs.
2. The ongoing litigation and uncertainty surrounding the Rs 2,122.40 lakhs borrowing.

The auditors stated that due to the absence of external confirmations and the pending litigation, they are unable to comment on potential adjustments or disclosures that may arise from these matters.

As LKP Finance navigates these financial and operational challenges, investors and stakeholders will likely be watching closely for further developments and their potential impact on the company's future performance.