LKP Finance, a non-banking financial company (NBFC), has acquired a stake in Gyftr, signaling a strategic shift towards the fintech sector and digital payments. The investment aims to capitalize on India's rapidly expanding digital rewards market.

The acquisition marks a significant change for LKP Finance, moving beyond its traditional NBFC model to embrace the opportunities presented by digital financial services. By integrating Gyftr’s capabilities with Mufin Pay, LKP Finance intends to offer a comprehensive rewards platform.

Gyftr specializes in digital gifting and rewards solutions. Mufin Pay, also part of the LKP Finance group, provides payment and lending solutions, primarily focused on the underserved merchant segment. The combined entity seeks to leverage synergies between these platforms to create a robust and user-friendly rewards ecosystem.

India's digital rewards market is experiencing substantial growth, driven by increasing smartphone penetration, rising internet usage, and evolving consumer preferences. Businesses are increasingly adopting digital rewards programs to enhance customer loyalty and drive sales. This investment positions LKP Finance to participate in and benefit from this trend. Details regarding the financial terms of the acquisition were not disclosed.