Zaggle Increases 5% Following Partnerships With Mastercard and AU Small Finance Bank

At 12:45 on the BSE, the stock had recovered some of its gains and was up 1.5% at INR 360.30, bringing the company's market capitalization to $544 million. The rally followed Zaggle's announcement of collaborations with Mastercard for co-branded domestic prepaid cards and AU Small Finance Bank (AU SFB) for co-branded retail credit cards, co-branded prepaid cards, and commercial cards.

This year, the company's shares have mostly stayed in a corrective phase, reflecting the 18% year-to-date decline in the Nifty IT index and the 6% increase in the Nifty 50.Details of the Partnership The five-year partnership between Zaggle and Mastercard is outlined in the Customer Business Agreement, which goes into force on September 22, 2025, and ends on September 30, 2030. In order to establish and promote co-branded domestic prepaid cards on the Mastercard network, Mastercard will offer Zaggle incentives under this arrangement. Strategic Consequences For Zaggle, this collaboration is a big step toward increasing the range of prepaid cards company offers. Zaggle hopes to expand its product line and maybe gain market share in the quickly expanding fintech industry by utilizing Mastercard's extensive worldwide network and experience.Important Aspects of the Agreement Character of the Agreement: The contract is categorized as a Mastercard Domestic Prepaid Card Co-Branded with "Zaggle" Customer Business Agreement. Range: The transactions will be domestic in character, even if the cooperation involves an international organization (Mastercard Asia/Pacific Pte. Ltd). Duration: The agreement offers a solid foundation for sustained cooperation and lasts for just over five years. Governance of Companies According to Zaggle, there are no related party transactions involved in this arrangement. Furthermore, there is no interest in Mastercard on the part of the promoter or the promoter group, guaranteeing openness and compliance with corporate governance guidelines.