BAJAJ BROKING
Zomato plans to acquire Paytm's movie ticketing business for ₹2,048 crore to strengthen its going-out vertical. Zomato share price and Paytm share price remain in focus as this strategic deal boosts Zomato's diversification beyond food delivery.
Food delivery giant Zomato has announced the acquisition of One 97 Communications Limited’s (Paytm) movie ticketing and events business in an all-cash deal worth ₹2,048 crore. This strategic move is aimed at enhancing Zomato's "going-out" vertical, marking another step in its diversification efforts beyond food delivery.
The acquisition reflects Zomato’s broader strategy to diversify its business operations. Following its 2022 acquisition of Blinkit in the quick commerce space, Zomato is now focusing on expanding its presence in the live events and movie ticketing sectors. The company has set aside ₹12,539 crore in cash reserves to fuel this inorganic growth.
The acquired entities, Paytm Insider and TicketNew, will be moved under wholly-owned subsidiaries of Paytm, Orbgen Technologies and Wasteland Entertainment, before the full stake is transferred to Zomato. This transfer will also include nearly 280 employees from the ticketing business, ensuring continuity in operations.
The transaction is expected to close within the current quarter. In a statement, Paytm confirmed that ticketing services would continue to be available on the Paytm app during the transition period of up to 12 months to ensure an uninterrupted user experience.
As a result of this acquisition, both Zomato share price and Paytm share price are expected to remain in focus. On the day of the announcement, Zomato's shares ended slightly lower at ₹259.77, while Paytm's shares closed nearly flat at ₹574.90 on the NSE.
Zomato’s acquisition of Paytm’s ticketing business represents a strategic move to enhance its market position in the going-out segment, ensuring its continued relevance and growth in the rapidly evolving digital entertainment space.
Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.
This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.
For All Disclaimers Click Here: https://bit.ly/3Tcsfuc
Share this article:
Disclaimer :
The information on this website is provided on "AS IS" basis. Bajaj Broking (BFSL) does not warrant the accuracy of the information given herein, either expressly or impliedly, for any particular purpose and expressly disclaims any warranties of merchantability or suitability for any particular purpose. While BFSL strives to ensure accuracy, it does not guarantee the completeness, reliability, or timeliness of the information. Users are advised to independently verify details and stay updated with any changes.
The information provided on this website is for general informational purposes only and is subject to change without prior notice. BFSL shall not be responsible for any consequences arising from reliance on the information provided herein and shall not be held responsible for all or any actions that may subsequently result in any loss, damage and or liability. Interest rates, fees, and charges etc., are revised from time to time, for the latest details please refer to our Pricing page.
Neither the information, nor any opinion contained in this website constitutes a solicitation or offer by BFSL or its affiliates to buy or sell any securities, futures, options or other financial instruments or provide any investment advice or service.
BFSL is acting as distributor for non-broking products/ services such as IPO, Mutual Fund, Insurance, PMS, and NPS. These are not Exchange Traded Products. For more details on risk factors, terms and conditions please read the sales brochure carefully before investing.
Investments in the securities market are subject to market risk, read all related documents carefully before investing. This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.
For more disclaimer, check here : https://www.bajajbroking.in/disclaimer
Level up your stock market experience: Download the Bajaj Broking App for effortless investing and trading