Deal Overview

Zaggle Prepaid Ocean Services Limited announced a five‑year co‑branding agreement with Punjab National Bank (PNB) to launch a co‑branded retail credit card. The agreement is domestic, involves no related‑party transactions, and will see Zaggle use its Propel, Save and Zoyer platforms to drive acquisition, marketing and promotion of the card across its corporate client network. For PNB, the tie‑up provides immediate access to Zaggle’s established enterprise relationships, potentially accelerating card adoption among salaried and business customers.

Financial Performance

For the full year ended March 2026, Zaggle reported consolidated revenue of Rs 1,908 crore, up sharply from Rs 1,304 crore in FY 2025 and Rs 776 crore in FY 2024. Operating profit rose to Rs 185 crore in FY 2026 versus Rs 114 crore the prior year, improving operating margins to 10% from 9%. Net profit increased to Rs 139 crore in FY 2026, compared with Rs 88 crore in FY 2025 and Rs 44 crore in FY 2024, reflecting compounded profit growth of 82% over three years. In the March 2026 quarter, revenue was Rs 618 crore, net profit Rs 41 crore and earnings per share Rs 3.02.

Share Price Reaction and Valuation

Following the announcement, Zaggle’s shares traded at Rs 218.5, representing a 2.79% rise from the previous close of Rs 212.55. The company’s market capitalisation stands at approximately Rs 2,930 crore and the stock is valued at a price‑to‑earnings multiple of 16.43.

Investor Profile

Ace investor Ashish Kacholia, who publicly holds 51 stocks with a net worth exceeding Rs 3,272.2 crore, owns a 2.23% stake in Zaggle. His involvement is highlighted as a confidence boost for the stock, given his track record of early identification of high‑growth small and mid‑cap businesses.

Company Background

Zaggle Prepaid Ocean Services Limited is a Hyderabad‑based fintech firm offering spend‑management solutions through its Propel, Save and Zoyer platforms. It serves corporates, SMEs and financial institutions with prepaid card programmes, expense automation tools and co‑branded financial products. The company is listed on both the Bombay Stock Exchange and the National Stock Exchange of India.