This Penny Stock Closed 4.94 Per Cent Higher After RBI Gave a Major Relief
The Reserve Bank of India (RBI) Renews Authorization to Operate White Label ATMs
Shares of Vakrangee Ltd, one of India's leading last-mile distribution platforms, surged 4.94 per cent in intraday trade on February 13, closing at Rs 15.92 per share, after the company announced that the Reserve Bank of India (RBI) had renewed its authorization to operate White Label ATMs (WLAs). This renewal allows Vakrangee to expand its financial inclusion initiatives, particularly in underserved regions.
Key Developments
- Renewal of Authorization: The RBI has extended Vakrangee’s authorization to set up, own, and operate White Label ATMs (WLAs) in India until March 31, 2026. This regulatory nod strengthens the company’s foothold in the financial services segment.
- WLA Network: As of January 31, 2025, Vakrangee operates 6,035 White Label ATMs, with 76 per cent located in Tier-4 to Tier-6 cities, emphasizing the company’s focus on financial inclusion in rural areas.
- Vakrangee Kendra Outlets: The company has 22,395 Vakrangee Kendra Outlets, with 81 per cent in Tier-4 to Tier-6 locations. These Kendras are multi-service centers, offering banking, insurance, financial services, assisted e-commerce, and ATM facilities.
- Technological Integration: Vakrangee integrates digital and physical banking solutions, including CCTV monitoring, digital signage, biometric authentication, and multi-modal payment systems, ensuring secure and efficient transactions.
- Business Model: The company operates as a "Last Mile Distribution Platform", combining physical outlets (Vakrangee Kendras) with a digital ecosystem (BharatEasy Mobile Super App), making financial services more accessible to the masses.
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Founded in 1990, Vakrangee has evolved into one of India's largest last-mile distribution platforms, integrating technology with financial and retail services. The company provides real-time banking, ATMs, insurance, e-governance, e-commerce (including healthcare services), and logistics solutions across rural, semi-urban, and urban markets.
With 6,035 WLAs and 22,395 Kendra outlets, Vakrangee remains a key player in India’s financial services sector, particularly in bridging the accessibility gap for banking and digital transactions.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice.