PB Fintech’s stock surged over 4% after CEO Yashish Dahiya announced plans for a $100 million investment to acquire a 30% stake in a new healthcare company, pending board approval. This strategic move aims to address the significant gap between healthcare costs and affordability for the average Indian.

Brokerage firm Bernstein has maintained an ‘outperform’ rating for PB Fintech, setting a price target of INR 1,750 per share. The company reported a consolidated net profit of INR 59.98 crore in Q1 FY25, a notable turnaround from a loss of INR 11.9 crore in the same quarter last year.

The decision to enter the healthcare sector aligns with PB Fintech’s commitment to financial inclusion and technology-driven solutions. Dahiya highlighted the opportunity to leverage the company’s tech expertise to make healthcare more accessible.

Initial speculation about the healthcare venture emerged last week in an exchange filing. Since its listing in 2021, PB Fintech has provided investors with substantial returns, exceeding 67% above its issue price.

Bernstein’s continued support reflects investor confidence in PB Fintech’s growth potential, strong business model, and robust cash generation capabilities. With this diversification into the underpenetrated Indian healthcare market, PB Fintech seeks to enhance shareholder value and expand access to essential services, opening up new avenues for growth aligned with its core mission of consumer empowerment.