Multibagger penny stock hit upper circuit after company’s subsidiary secures strategic insurance mandate from Allianz-Backed GT Insurance in Australia

On Monday, shares of Eraaya Lifespaces Limited hit a 5 per cent upper circuit to Rs 48.48 per share from its previous closing of Rs 46.18 per share. The stock’s 52-week high is Rs 316.90 per share and its 52-week low is Rs 39.99 per share. In June 2025, the President of India made a fresh entry and bought 14,30,092 shares or 0.75 per cent stake in the company.

Eraaya Lifespaces, through its Indian subsidiary Ebix Technologies, has secured a new deal with GT Insurance in Australia, a company backed by Allianz. The agreement is for Ebix's Australian step-down subsidiary, Ebix Australia, to feature GT Insurance's new Heavy Motor Transport Package on its digital distribution platform, Sunrise Exchange. This expands on a previous successful partnership for GT's Marine Cargo and Carriers products.

The collaboration aims to enhance GT Insurance’s reach across the Australian market by using the Sunrise Exchange platform, which is a major B2B hub for insurance transactions. The multi-year deal is already generating revenue and is based on a scalable software-as-a-service (SaaS) model, with all premium, policy, and broker interactions now being processed digitally. This partnership highlights the ongoing trend of digitizing insurance operations to improve efficiency and reduce manual work.

For Eraaya Lifespaces, this strategic move reinforces its focus on providing technology-driven solutions for the global insurance sector. The deal with a trusted partner like Allianz-backed GT Insurance demonstrates the company’s ability to build strong, long-term client relationships and expand its digital footprint. With the global insurance industry increasingly moving toward platform-based models, this partnership positions Eraaya to continue growing its presence in key markets.

About Eraaya Lifespaces Ltd

Eraaya Lifespaces, a lifestyle and hospitality company focused on luxury, innovation and technology, is expanding its global footprint and offerings through the strategic acquisition of Ebix Inc. USA and its worldwide subsidiaries. This move significantly broadens Eraaya's scope beyond its core business of creating immersive cultural experiences, as Ebix is a global leader in software and e-commerce solutions across insurance, financial services, travel, healthcare and e-learning. By integrating Ebix's expertise in areas like advanced insurance exchanges and SaaS solutions, Eraaya aims to drive transformative innovation and redefine the future of business in interconnected global markets.

In its Quarterly Results (Q1FY26), the company reported net sales of Rs 609 crore and a net loss of Rs 24 crore. Looking at its annual results (FY25), the company reported net sales of Rs 22.32 crore and a net profit of Rs 25.87 crore.

The company has a market capitalisation of over Rs 900 crore and a 130 per cent 5-year stock price CAGR. The stock gave multibagger returns of over 2,200 per cent in 3 years. As of June 2025, the company's promoters own 35.61 per cent stake, FIIs own 22.47 per cent, DIIs own 1.61 per cent, the Government of India owns 0.75 per cent and the rest 39.56 per cent stake is owned by the public.

Disclaimer: The article is for informational purposes only and not investment advice.