1. At a Glance
LKP Finance Ltd — the not-so-ordinary NBFC that trades more in gossip and derivatives than in plain vanilla loans — is back in headlines. The stock has been a multi-bagger over the last year, surging nearly 400% YoY, and if that wasn’t wild enough, the company recently announced plans to change its name to “Gyftr”, surrender its NBFC license, and pivot into a payments and gifting platform. Yes, you read that right — from finance to fintech with flair.
As of November 2025, the stock trades at ₹939, with a market cap of ₹1,442 crore. The company’s ROE and ROCE are both in the red (-0.17% and -0.83%), and its sales growth over the last five years has been a dismal -17%. Yet, investors seem to be hypnotized — probably because the price has rocketed 124% in six months. The Q2 FY25 results? A mixed bag garnished with spice: Sales down 147% YoY, PAT down 66.9%, but a surprise profit of ₹5.03 crore on paper.
And just when you think the story can’t get spicier, the auditors threw in a qualified review over ₹3,596.65 lakh of disputed loans and garnishee accounts. In desi terms: “Yeh paisa gaya kahan?”
2. Introduction
Once upon a time, LKP Finance was a modest NBFC operating across 200+ Indian cities, offering good old-fashioned financial services — loans, investments, and trading in securities. Fast forward to 2025, and the script now includes rights issues, promoter changes, fintech acquisitions, and a name change that sounds straight out of a startup pitch deck.
The company’s DNA is now a cocktail of financial engineering, equity trading, and debt market wizardry, all mixed with a dash of regulatory seasoning. It’s a Non-Banking Financial Institution, but increasingly looks like it doesn’t want to be one.
In July 2025, Hindon Mercantile Ltd and Kapil Garg swooped in, acquiring 61.21% of shares, becoming the new promoters. By September, LKP approved a ₹126 crore rights issue at ₹450 per share and an ₹80 crore private placement for a 9.58% stake in Mufinpay, a digital payments company. Now they’re proposing to surrender the NBFC license and pivot into digital gifting and payment aggregation.
So, the real question: Is LKP Finance reinventing itself into a fintech unicorn, or just changing outfits for the same old dance?
3. Business Model – WTF Do They Even Do?
In simpler times, LKP Finance made its bread and butter by financing, trading, and offering brokerage services across equity, derivatives, and debt markets. Think of them as the old-school finance guys who decided to dabble in every corner of the market — merchant banking, institutional equities, debt placements, PF advisory, and mutual fund distribution.
Their revenue mix in FY23 looked something like this:
- Interest income (~53%) — the traditional loan stuff.
- Net gains on fair value changes (~45%) — aka “we made money trading our own investments.”
- Dividend income (~2%) — the cherry on top.
The company also has an active presence in GIFT City, dealing in IFSC receipts, index and currency derivatives, and even commodities. In short, if it trades, LKP probably has a hand in it.
However, in 2025, they’re clearly bored with being a mid-tier NBFC. The move toward the “Gyftr”
