PB Fintech Crashes 10% In 2 Sessions

PB Fintech Extends Losses, Tumbles Nearly 10% In 2 Sessions

SUMMARY

PB Fintech shares crashed over 5% in early trade on the BSE to hit an intraday low of INR 1,332, extending their losses for the second consecutive session

The decline in the share price came a day after the Policybazaar parent announced plans to infuse INR 829 Cr in its PB Health Services

PB Fintech reported a consolidated net profit of INR 71.6 Cr in Q3 FY25 on operating revenue of INR 1,291.6 Cr

Extending its losses to the second session, shares of PB Fintech crashed over 5% to hit an intraday low of INR 1,322 apiece on the BSE today.

The stock fell over 4% yesterday as well, a day after the insurtech major announced plans to infuse INR 829 Cr (around $95 Mn) in its healthcare arm.

At 2:09 PM today, shares of PB Fintech were trading 5.19% lower at INR 1,331.25 apiece on the BSE.

The PolicyBazaar parent said on Tuesday (March 11) that it received approval from its board to invest INR 696 Cr (about $80 Mn) in PB Health Services. Following the capital infusion, PB Fintech would own up to 33.63% stake in its healthcare subsidiary.

Besides the proposed investment, PB Fintech cofounders Yashish Dahiya and Alok Bansal, along with three key managerial personnel, plan to additionally invest up to INR 132.75 Cr in the company’s healthcare division for a cumulative stake of around 6.61%.

PB Fintech is looking to diversify its offerings by foraying into the healthcare sector. The company incorporated its healthcare subsidiary in January this year.

Meanwhile, the company also incorporated a wholly owned subsidiary, PB Pay, last year to foray into the payment aggregator space to shore up its top line.

On the financial front, PB Fintech reported a 92% jump in its consolidated profit after tax (PAT) to INR 71.54 Cr in the December quarter of the ongoing fiscal year (Q3 FY25) from INR 37.23 Cr in the year-ago quarter. Operating revenue zoomed 48% to INR 1,291.62 Cr during the quarter from INR 870.89 Cr in Q3 FY24.

Earlier this month, the company’s CEO Dahiya settled a case with the Securities and Exchange Board of India for alleged failure to identify an acquisition as unpublished price sensitive information. Dahiya proposed to settle the proceedings against him without admission of guilt or denying the findings of the case, the markets regulator said in its settlement order.