Paytm to merge its digital wallet business with payments bank


Paytm has announced that it is merging its digital wallet business to the newly-incorporated Paytm Payments Bank Limited (PPBL) after receipt of necessary RBI approvals.

Paytm, which is run by One 97 Communications, has two key businesses–payments business and commerce marketplace. The company had incorporated a new company called Paytm E-commerce Pvt Ltd for its marketplace business in August, this year. The new unit will handle all of the firm’s payments businesses, including the Paytm wallet, while the e-commerce business will continue to remain under One97 Communications.

Vijay Shekhar Sharma, the founder-CEO of One97, will hold the majority share in the payments bank. RBI had issued an in-principle payments bank licence to Sharma, chief executive of One97 Communications, last year. Currently, Paytm Payments Bank Limited is in the process of obtaining full license from the Reserve Bank of India (RBI).

Paytm told ET,

“As per the directions of the Reserve Bank of India (RBI), the company would transfer its wallet business to the newly incorporated Paytm Payments Bank Ltd after receipt of necessary approvals,”



Author: Sneha Bokil

Sneha Bokil is a tech enthusiast and is currently using OnePlus 3T but she still treasures her Nokia N70 (M). You can follow her on Twitter @snehabokil and on Google+