Infibeam Closes INR 700 Cr Rights Issue With 1.4X Oversubscription

Fintech company Infibeam Avenues has closed its INR 700 Cr rights issue with an oversubscription of 1.4X. The issue was structured as a 67:267 rights issue, which means existing shareholders were eligible to apply for 67 new shares for every 267 shares they held. 

With the successful closure, Infibeam’s rights issue committee approved the allotment of about 70 Cr partly paid-up equity shares at INR 10 per share. With this, the total equity share capital of the company now stands at INR 348.9 Cr. 

“The funds raised will further strengthen our balance sheet and enable us to invest in key growth areas, including AI-driven products, digital payment solutions, and selective acquisitions aligned with our vision,” Infibeam MD and chairman Vishal Mehta said. 

A majority of the funds accrued from the rights issue would be deployed to beef up Infibeam’s subsidiary Nueromind Technologies, which is the parent of Phronetic.AI. 

Phronetic builds tailored Al software solutions for enterprises. It also plans to establish a distributed network of data centre capacity for edge computing across India.

In Infibeam’s Q4 earnings call, Mehta said that the company’s dedicated AI division, Phronetic AI, is focussing on developing a global marketplace for AI agents. The platform will connect developers, enterprises and everyday users to build, buy, sell and operate autonomous AI agents without writing a single line of code.

“We are launching Infibeam Quantum Edge. Our quantum edge initiative involves deploying small-scale distributed data centres starting with a 2 MW unit. These centres will host our AI framework and support real-time computing use cases. With an expected ROI under 24 months, we already have demand visibility for upcoming locations,” Mehta said. 

Earlier this month, Phronetic signed an MoU with enterprise tech startup Nawgati to co-develop AI-powered solutions tailored for fueling, fleet, and energy sectors to automate reasoning capabilities for accurate decision making on a real-time basis by using CCTV-video inputs. 

Further, Infibeam plans to invest INR 87.7 Cr in its digital content and ecommerce marketplace Rediff to expand its digital and payments ecosystem. Primarily, the funds would be utilised to support the growth of RediffPay, its TPAP arm, to support UPI and broader digital financial services.

It is important to note that Infibeam is also looking to launch a new ecommerce platform under Rediff, named RediffOne. While information of RediffOne is scant right now, the company said that it would be an enterprise-grade AI and payments platform.

Meanwhile, Infibeam has earmarked INR 250 Cr to acquire unidentified businesses for future growth, other business initiatives and general corporate purposes.

Shares of Infibeam ended today’s trading session 0.49% lower at INR 16.38 on the BSE.