Market Performance
Dreamfolks Services’ share price is once again in the spotlight in the stock market today. On Friday, September 5, 2025, the company came under pressure after news broke of yet another contract termination—its second in a week.
The stock has already had a rough ride in recent months. Shares are down 64.7% in 2025 so far, and despite a slight recovery of 13.8% from its 52-week low of ₹123, the stock remains deep in correction. At the last close, Dreamfolks Services ended at ₹140 per share, marginally up 0.3%, but far from investor comfort.
Travel Food Services Pulls Out of Agreement
On September 4, Travel Food Services Ltd. (TFS) informed exchanges that it is terminating its extended arrangement with Dreamfolks.
- Effective September 15, 2025, Dreamfolks’ customers will no longer have access to TFS-operated lounges.
- The agreement, originally signed on July 1, 2023 (effective April 1, 2024), was due to expire on March 31, 2025 but had been extended.
- TFS clarified that despite multiple attempts, it could not re-negotiate commercial terms with Dreamfolks.
Interestingly, TFS also noted that through its subsidiary Eliteassist Technology and Services Pvt. Ltd., it has already initiated direct partnerships with banks and networks. The company assured exchanges that this termination would not impact its operations, hinting at a shift towards a more fintech-driven model.
Another Blow After August 29 Announcements
This fresh exit comes just days after Dreamfolks had disclosed in its August 29 filing that three suppliers—Adani Digital, Semolina Kitchens, and Encalm Hospitality—were preparing to discontinue certain services.
- Adani Digital and Semolina Kitchens set September 15, 2025 as their cut-off date.
- Encalm Hospitality marked November 1, 2025 as its effective termination date.
Dreamfolks replied to the notices, asking the firms to reconsider their decision. It also moved the Delhi High Court under Section 9 of the Arbitration and Conciliation Act, 1996, filing a petition against Encalm for interim relief.
As of now, the services with these suppliers remain ongoing, but the looming cut-offs keep uncertainty high.
Dreamfolks’ Stand and Growing Pressures
Dreamfolks Services has not shied away from acknowledging the industry pressure it faces. Its Chairperson and CEO, Liberatha Peter Kallat, had earlier accused two large airport operators of using strong-arm tactics.
According to her, clients were being warned that unless they engaged directly with these operators, access to lounges could be denied to their cardholders. This raised fresh concerns about Dreamfolks’ position as an aggregator in the competitive lounge access space.
Kallat also underlined that the company does not expect regulatory backing, describing Dreamfolks as a small player navigating an industry dominated by bigger names.
Stock Market Today: Dreamfolks in ESM
The steep decline in Dreamfolks Services’ share price hasn’t gone unnoticed. The stock is currently under Stage 1 of the Enhanced Surveillance Measure (ESM) framework, adding another layer of caution for investors tracking it.
- From July 1, 2025, shares have dropped a staggering 41%.
- Between July 1 and mid-July, the stock fell 34.8% across 10 straight sessions.
- On August 2, it hit its 52-week low of ₹123, down 48.2% from earlier levels.
The company maintains that it is strategically shifting focus towards global lounge access and diversified service offerings, aiming for long-term stability. But in the near term, the string of contract exits keeps its stock price under pressure.
Summary
To sum up:
- Dreamfolks Services’ share price remains in focus in the stock market today after Travel Food Services terminated its extended lounge access deal effective September 15, 2025.
- This marks the second major setback within a week, after Adani Digital, Semolina Kitchens, and Encalm Hospitality flagged service discontinuations.
- The stock is down 64.7% year-to-date, currently trading at ₹140 per share, with its future trajectory clouded by mounting industry challenges.
Dreamfolks continues to fight on multiple fronts—contract negotiations, arbitration, and industry competition. But for now, the market mood around the stock remains cautious.
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