- Paytm is selling its entertainment ticketing business, including TicketNew and Insider, to Zomato for ₹2,048 crore, with the transition expected to take up to a year.
- The sale aligns with Paytm's strategy to focus on its core financial services, while Zomato plans to integrate the acquisition into its 'going-out' business and potentially spin it off into a new app called District.
Paytm has agreed to sell its entertainment ticketing business, including TicketNew and Insider, to Zomato for ₹2,048 crore. The deal, set to transition over the next year, will involve around 280 Paytm employees moving to Zomato.
This strategic sale aims to strengthen Paytm’s balance sheet and allows the fintech giant to refocus on its core payments and financial services businesses.
One 97 Communications Limited (OCL), the parent company of Paytm, announced that the entertainment ticketing business will be transferred to its subsidiaries, Orbgen Technologies Pvt Limited (OTPL) and Wasteland Entertainment Pvt Ltd (WEPL), before selling 100% of these subsidiaries to Zomato.
During the transition period, tickets for movies, sports, and live events will remain available on the Paytm app, as well as on TicketNew and Insider platforms.
Zomato sees this acquisition as a boost to its 'going-out' business, which already includes in-restaurant dining and live events.
Zomato co-founder and CEO Deepinder Goyal commented, "We believe, over the next decade and beyond, going-out experiences will continue to grow... this acquisition makes us more relevant for our customers."
He also mentioned that Zomato plans to eventually spin off the business into a new app called District.
Paytm, which has faced regulatory challenges, is focusing on its core financial services offerings.
"We built the entertainment ticketing business by addressing the market needs of the time... this move allows us to continue focusing on long-term growth in our core areas," said a Paytm spokesperson.
This transaction represents a significant step in Paytm's strategy to divest non-core assets and strengthen its core business focus.
Edited by Harshajit Sarmah
