Zomato: Food delivery company Zomato has bought the entertainment ticket business of fintech company Paytm for Rs 2048 crore. Paytm’s parent company, One 97 Communications, informed about this decision in the exchange filing on Wednesday. The company has said that it wants to focus fully on its payment and financial services business.
Vijay Shekhar Sharma Wrote A Letter To Shareholders
After announcing this deal with Zomato, Paytm founder Vijay Shekhar Sharma was told in a letter to the shareholders that we will now focus on creating a profitable model while focusing on our core business. He said that we have prepared a long-term plan for Paytm. We have faced many challenges in the past. We have recovered from those shocks and are preparing to move forward.
280 Employees Will Also Be Transferred To Zomato
One 97 Communications said in the exchange filing that it would sell its 100% stake to Zomato. This deal has been done on a cash-free and debt-free model. In addition, 280 employees working in Paytm’s entertainment ticket business team will also be transferred to Zomato. However, movie, sports, and event tickets will remain available for the next 12 months on the Paytm app. Paytm started this business by buying TicketNew and Insider for Rs 268 crore.
We Learned Lessons From The Ban On Paytm Payments Bank
Vijay Shekhar Sharma said the last financial year was difficult for us after the RBI ban on Paytm Payments Bank, but we learned many lessons from this. Now, increasing cash flow is our priority in this financial year. He said the company will also increase the use of AI.
