Paytm sells PayPay stake to SoftBank for $279.2 million

Paytm sells its PayPay stake to SoftBank for $279.2M, focusing on core assets amid market recovery.

: Paytm has sold its stake in Japanese payments firm PayPay to SoftBank for $279.2 million. This move follows a restructuring phase where Paytm also sold its ticketing unit to Zomato for $246 million. The sale enhances Paytm's cash reserves as it regains market share after regulatory challenges in India. Despite recent profitability, Paytm's gains are mostly from asset sales.

Paytm has agreed to sell its stake in Japanese payments company PayPay to SoftBank for $279.2 million. This decision aligns with Paytm's strategy to shed non-core assets after facing a significant regulatory challenge earlier this year.

The stake was originally received by Paytm through acquisition rights six years ago and the sale is part of a broader restructuring effort. In August, this restructuring saw Paytm sell its entertainment ticketing division to Zomato for $246 million.

This transaction bolsters Paytm's cash reserves to $1.46 billion, helping it to regain its footing in India's competitive payments market. The company's recent market share recovery includes a resumed ability to add customers to its UPI service, after seeing an exodus due to banking operation restrictions earlier.

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