TLDR: Infibeam Avenues, a prominent fintech company, has successfully concluded its ₹700 crore rights issue, which was oversubscribed by 1.4 times. The significant capital infusion is primarily earmarked for a strategic pivot into artificial intelligence, focusing on developing reasoning Large Language Models (LLMs) and AI agents. This move signals Infibeam’s intent to expand beyond its core digital payments and e-commerce operations, aiming to build a comprehensive, full-stack agent AI ecosystem for various industries.
Ahmedabad-based Infibeam Avenues Limited, a leading player in India’s digital payments and e-commerce technology landscape, has successfully raised ₹700 crore through a rights issue, marking a pivotal strategic shift towards advanced artificial intelligence. The rights issue, which opened on July 3, 2025, and closed on July 11, was met with strong investor confidence, being oversubscribed by an impressive 1.4 times. On July 15, 2025, the company’s rights issue committee approved the allotment of approximately 70 crore partly paid-up equity shares at ₹10 per share.
This substantial capital infusion is primarily dedicated to funding Infibeam’s ambitious foray into the AI domain, with nearly ₹300 crore specifically allocated for its AI initiatives. Vishal Mehta, Founder, Managing Director, and Chairman of Infibeam Avenues, articulated the company’s vision, stating, “This is not just about fintech. It’s about creating an open, scalable agentic AI platform that works across industries—something that allows any entrepreneur or enterprise to build, deploy, and monetise intelligent agents without needing to write a single line of code.”
The company’s AI strategy rests on three core pillars: reasoning models, agentic frameworks, and real-world deployment platforms. Spearheading this technological pivot is Phronetic AI, Infibeam Avenues’ wholly-owned subsidiary, which is focused on developing cutting-edge AI models, orchestration systems, and developer tools. Phronetic AI, parented by Nueromind Technologies Pvt. Ltd., is led by Rajesh Kumar SA, formerly Director of Machine Learning at Meesho and co-founder of Streamoid.
Infibeam is developing proprietary AI models to power its autonomous agents. These include Owlet, a family of fine-tuned vision-language models (VLMs) optimized for real-time video analytics, and Thea, a Large Language Model (LLM) designed to process and interpret visual inputs such as video, screen shares, and image sequences. These AI agents are envisioned to go beyond traditional chatbots, performing complex tasks across diverse sectors like financial services, healthcare, and retail.
Further bolstering its AI ecosystem, Infibeam plans to invest INR 87.7 crore in Rediff.com, which it acquired. Rediff.com is being strategically repositioned as an open marketplace for digital tools and AI agents, facilitating their distribution and adoption. The company also intends to establish a distributed network of data centers for edge computing across India, starting with a 2 MW unit, to support real-time AI processing.
In a recent development, Phronetic AI has partnered with enterprise technology firm Nawgati through a Memorandum of Understanding (MoU) to jointly develop AI-enhanced solutions for the fuel, fleet, and energy industries. These solutions will leverage CCTV video feeds to automate analytical processes for precise, real-time decision-making.
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Beyond its AI push, the funds raised will also support the expansion of RediffPay to include UPI and broader digital financial services, and the development of RediffOne, an enterprise-grade platform. The company’s financial performance for FY25 saw a 43% jump in profit, with Q4 profit rising 5.3% to ₹49.1 crore. Revenue from operations for the full year surged by 62% to ₹1,160.5 crore, indicating strong traction in both domestic and international payments, even as it embarks on this significant AI transformation.
