Shares of One 97 Communications, the parent company of Paytm, will be in focus today, Wednesday, August 13, after its wholly owned subsidiary, Paytm Payments Services Limited (PPSL), received in-principle authorisation from the Reserve Bank of India (RBI) to operate as an online payment aggregator under the Payment and Settlement Systems Act, 2007.
The development marks a significant regulatory breakthrough for the company, which had faced a setback last year when its application was rejected over non-compliance with foreign direct investment (FDI) norms. The latest approval follows China’s Ant Financial exiting Paytm last week by selling its entire 5.84% stake for around Rs 3,803 crore, reducing Chinese ownership in the company to zero.
The licence will allow PPSL to onboard merchants and facilitate online transactions, aligning with Paytm’s broader strategy to strengthen its merchant-side business. Founder and CEO Vijay Shekhar Sharma has previously stated that SME credit and future-forward receivables remain a key focus area for the company.
Separately, Paytm reported a consolidated net profit of Rs 122.5 crore in Q1 FY26, reversing a loss of Rs 838.9 crore a year ago. Revenue from operations rose 27.7% YoY to Rs 1,917.5 crore, driven by growth in subscription merchants, higher gross merchandise volume, and increased financial services distribution income.
