One 97 Communications Limited, the parent company of Paytm, announced that its Board of Directors approved the transfer of its Offline Merchants Payment Business to Paytm Payments Services Limited, a wholly-owned subsidiary. This decision, taken in a board meeting on October 15, 2025, is subject to execution of definitive agreements and approvals from PPSL’s board and Paytm shareholders.
The transfer is being undertaken to comply with the Reserve Bank of India’s Master Directions on Regulation of Payment Aggregators dated September 15, 2025. Consolidating Paytm’s online and offline merchant payments operations under PPSL, which has in-principle RBI approval for Payment Aggregator Online operations, is expected to improve operational efficiency and synergy within the group.
The Offline Merchants Payment Business, which includes QR, soundbox, and EDC machine payments, will be transferred through a slump sale on a going concern basis. Being an internal transfer to a wholly-owned subsidiary, it will not affect the consolidated financials of the company. The revenue of the transferred business for FY 2024-25 was approximately ₹2,580 crore, representing 47% of Paytm’s standalone revenue, and its net worth as of March 31, 2025, was ₹960 crore. The transaction will be completed on or before December 31, 2025, and the consideration will be a lump-sum cash payment based on the book value of assets and liabilities.